Systems and Methods for Transferring Risk Associated With a Financial Plan

• US 20100121779A1
• Filed: 11/10/2008
• Published: 05/13/2010
• Est. Priority Date: 11/10/2008
• Status: Active Application

• Current Assignee: Prudential Insurance Company of America (Prudential Financial Incorporated)
• Original Assignee: Prudential Insurance Company of America (Prudential Financial Incorporated)
• Inventors: Kalamarides, John J., Marcks, Christine C., Castineiras, George A.
• Application Number:
  US12/268,339
• Publication Number:
  US 20100121779A1
• Time in Patent Office: Days
• US Class Current: 705/36.R
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03
• CPC Class Codes: G06Q 40/06 Asset management; Financial planning or analysis

Abstract

One embodiment of the disclosure is a method, performed by a sponsor offering a financial plan to a customer, for transferring risk associated with a financial plan that includes receiving indemnification from an issuer managing the financial plan, such that the indemnification indemnifies the sponsor of the financial for one or more claims brought by the customer of the financial plan and associated with a financial account, such that the financial account is associated with the financial plan and comprising one or more financial investments. The method further includes generating a notice to the customer, such that the notice notifies the customer of the customer'"'"'s enrollment in the financial plan unless the customer elects to opt out of one or more features of the financial plan, such that the notice includes an opt-out. The method further includes storing an acknowledgement of the opt-out by the customer.

Claims

1. A system, comprising:

one or more processors;

one or more memory modules; and

software stored on computer-readable media and, when executed by the one or more processors, operable to;

generate a notice for an employee of a financial plan managed by an indemnitor, the employee being employed by an indemnitee, the notice notifying the employee that the employee will be enrolled in the financial plan unless the employee elects to opt out of one or more features of the financial plan, the indemnitor indemnifying the indemnitee for one or more claims that may be brought by the employee and associated with a financial account, the financial account associated with the financial plan, the financial account comprising one or more financial investments, and the notice comprising an opt-out; and

store an indicator in the one or more memory modules, the indicator representing an acknowledgement of the opt-out by the employee.

2. The system of claim 1, further comprising generating a second notice, the second notice notifying the employee of the implementation of one or more aspects of the financial plan unless the employee elects to opt out of the one or more aspects of the financial plan, the second notice comprising a second opt-out.

3. The system of claim 1, wherein the one or more claims brought by the employee are associated with the selection or performance of the one or more financial investments in the financial account.

4. The system of claim 1, wherein the indicator is an element in a database stored within the one or more memory modules.

5. The system of claim 1, wherein the financial plan comprises provisions for increasing a balance of the financial account by at least one contribution and guaranteeing an annual income amount to a beneficiary.

6. The system of claim 1, wherein the financial plan is a 401(k) plan.

7. The system of claim 1, wherein the opt-out provides a statement that the employee waives future litigation claims associated with the financial account against the indemnitee if the employee opts out of the financial plan.

8. The system of claim 1, wherein the acknowledgment by the employee occurs when the employee clicks an electronic button in a graphical user interface to opt out of the financial plan.

9. The system of claim 1, wherein the one or more financial investments are selected by the indemnitor.

10. The system of claim 1, wherein the notice further comprises a statement that enrolling in the financial plan is expected to provide the employee with a better financial outcome than opting out.

11. A method, performed by a sponsor offering a financial plan to a customer, for transferring risk associated with the financial plan, the method comprising:

receiving indemnification from an issuer managing the financial plan, the indemnification indemnifying the sponsor of the financial plan for one or more claims brought by the customer of the financial plan and associated with a financial account associated with the financial plan and comprising one or more financial investments; and

using software stored on computer-readable media and, when executed by one or more processors, operable to;

generate a notice to the customer, the notice notifying the customer of the customer'"'"'s enrollment in the financial plan unless the customer elects to opt out of one or more features of the financial plan and the notice comprising an opt-out; and

store an indicator, in one or more memory modules, the indicator representing an acknowledgement of the opt-out by the customer.

12. The method of claim 11, further comprising generating a second notice, the second notice notifying the customer of the implementation of one or more aspects of the financial plan unless the customer elects to opt out of the one or more aspects of the financial plan, the second notice comprising a second opt-out.

13. The method of claim 11, wherein the one or more claims brought by the employee are associated with the selection or performance of the one or more financial investments in the financial account.

14. The method of claim 11, wherein the indicator is an element in a database stored within the one or more memory modules.

15. The method of claim 11, wherein the financial plan comprises provisions for increasing a balance of the financial account by at least one contribution and guaranteeing an annual income amount to a beneficiary.

16. The method of claim 11, wherein the financial plan is a 401(k) plan.

17. The method of claim 11, wherein the opt-out provides a statement that the customer waives future litigation claims associated with the performance of the financial account against the plan sponsor if the customer opts out of the financial plan.

18. The method of claim 11, wherein the acknowledgment by the customer occurs when the customer clicks an electronic button in a graphical user interface to opt out of the financial plan.

19. The method of claim 11, wherein the one or more financial investments are selected by the issuer.

20. The method of claim 11, wherein the notice further comprises a statement that enrolling in the financial plan is expected to provide the customer with a better financial outcome than opting out.

21. A method, performed by an issuer of a financial plan for transferring risk associated with the financial plan, the method comprising:

providing indemnification to a sponsor that has offered the financial plan to a customer, the indemnification indemnifying the financial plan sponsor for one or more claims brought by the customer of the financial plan and associated with a financial account associated with the financial plan and comprising one or more financial investments; and

using software stored on computer-readable media and, when executed by one or more processors, operable to;

generate a notice to the customer, the notice notifying the customer of the customer'"'"'s enrollment in the financial plan unless the customer elects to opt out of one or more features of the financial plan and the notice comprising an opt-out; and

store an indicator, in one or more memory modules, the indicator representing an acknowledgement of the opt-out by the customer.

22. The method of claim 21, further comprising generating a second notice, the second notice notifying the customer of the implementation of one or more aspects of the financial plan unless the customer elects to opt out of the one or more aspects of the financial plan, the second notice comprising a second opt-out.

23. The method of claim 21, wherein the one or more claims brought by the employee are associated with the selection or performance of the one or more financial investments in the financial account.

24. The method of claim 21, wherein the indicator is an element in a database within the one or more memory modules.

25. The method of claim 21, wherein the financial plan comprises provisions for increasing a balance of the financial account by at least one contribution and guaranteeing an annual income amount to a beneficiary.

26. The method of claim 21, wherein the financial plan is a 401(k) plan.

27. The method of claim 21, wherein the opt-out provides a statement that the customer waives future litigation claims associated with the performance of the financial account against the plan sponsor if the customer opts out of the financial plan.

28. The method of claim 21, wherein the acknowledgment by the customer occurs when the customer clicks an electronic button in a graphical user interface to opt out of the financial plan.

29. The method of claim 21, wherein the one or more financial investments are selected by the issuer.

30. The method of claim 21, wherein the notice further comprises a statement that enrolling in the financial plan is expected to provide the customer with a better financial outcome than opting out.