Process for rule-based insurance underwriting suitable for use by an automated system

• US 7,844,477 B2
• Filed: 06/18/2002
• Issued: 11/30/2010
• Est. Priority Date: 12/31/2001
• Status: Active Grant

• Current Assignee: Pacific Life Insurance Company (Pacific Mutual Holding Company)
• Original Assignee: Genworth Financial Incorporated
• Inventors: Durham, William Michael, Russell, Diane Marie, Bonissone, Piero Patrone, Yang, Dan, Pavese, Marc, Messmer, Richard Paul
• Primary Examiner(s): O'Connor; Gerald J.
• Assistant Examiner(s): Najarian; Lena
• Application Number:
  US10/173,000
• Publication Number:
  US 20030187700A1
• Time in Patent Office: 3,087 Days
• Field of Search: 705/4, 705/35, 705/38, 705 2- 3
• US Class Current: 705/4
• CPC Class Codes: G06Q 10/10 Office automation; Time management
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03
• CPC Class Codes: G06Q 40/03 Credit; Loans; Processing thereof
• CPC Class Codes: G06Q 40/08 Insurance

Abstract

A process for at least a partial underwriting of insurance policies is described. Various rules are created, along with a degree of satisfaction for each rule. Rules may be directed toward various insurance underwriting components (e.g., cholesterol levels, blood pressure, etc.). Based on the degree of satisfaction for each rule, a component may be assigned to a category. Based on the category for each component, the insurance application may be assigned an underwriting category.

Claims

1. A method for underwriting an insurance application, implemented by a tangibly embodied computer device, comprising the steps of:

receiving a request to underwrite an insurance application, where the request includes information about a plurality of application components;

evaluating the plurality of application components based on rules associated with the application components;

assigning measurements to the application components, such that each application component is assigned a level; and

assigning, by the computer device, each of the application components to a specific component category out of a plurality of component categories based on the assigned measurements, including;

each component category being respectively defined as cat1, cat2, and cat3, and cat1 being assigned a level1, cat 2 being assigned level2, and cat3 being assigned level3;

respectively determining a particular category to which to assign each application component based on sequentially;

determining whether each application component possesses a level of level1 or higher and assigning such application component to cat1;

determining whether each application component possesses a level of level2 or higher and assigning such application component to cat2;

determining whether each application component possesses a level of level3 or higher and assigning such application component to cat3;

assigning the insurance application to a category based on a distribution of what component categories the application components are assigned.

2. The method according to claim 1, wherein the step of evaluating the plurality of application components includes the sub-steps of:

defining the rules;

assigning the rules to the plurality of application components; and

defining a plurality of parameters associated with rules, wherein each parameter corresponds to a particular category of the plurality of component categories.

3. The method according to claim 1, wherein the rules are fuzzy logic rules.

4. A method, implemented by a tangibly embodied computer device, for underwriting an insurance application comprising the steps of:

receiving a request to underwrite an insurance application, wherein the insurance application includes a plurality of application components;

evaluating the plurality of application components based on rules, wherein each of the rules is associated with the plurality of application components;

assigning a measurement to each of the plurality of application components, such that each application component is assigned a level; and

assigning, by the computer device, each of the plurality of application components to a specific component category out of a plurality of component categories based on the assigned measurement, including;

each component category being respectively defined as cat1, cat2, and cat3, and cat1 being assigned a level1, cat2 being assigned level2, and cat3 being assigned level3;

respectively determining a particular category to which to assign each application component based on sequentially;

determining whether each application component possesses a level of level1 or higher and assigning such application component to cat1;

determining whether each application component possesses a level of level2 or higher and assigning such application component to cat2;

determining whether each application component possesses a level of level3 or higher and assigning such application component to cat3;

assigning the insurance application to a category based on a distribution of what component categories the application components are assigned.

5. The method according to claim 4, wherein the step of evaluating the plurality of application components includes the sub-steps of:

defining the rules;

assigning each of the rules to one of the plurality of components; and

defining a plurality of parameters associated with each of the rules, wherein each parameter corresponds to a particular category of the plurality of component categories.

6. The method according to claim 4, wherein the rules are fuzzy logic rules.

7. A method, implemented by a tangibly embodied computer device, for underwriting an insurance application, implemented using computer code tangibly embodied on a computer readable medium, the method comprising:

receiving a request to underwrite an insurance application for a customer, wherein the insurance application includes a plurality of application components;

evaluating the plurality of application components based on rules, wherein each of the rules is associated with each of the plurality of application components;

assigning a measurement to each of the plurality of application components based on the evaluating, such that each application component is assigned a level; and

assigning each of the plurality of application components to a specific component category out of a plurality of component categories based on the assigned measurement, each of the component categories associated with required attributes of which an application component must possess to be included in a particular component category;

assigning, by the computer device, the insurance application to a specific application category out of a plurality of application categories, wherein the assignment of the insurance application to a specific application category is based at least in part on specific component categories to which the plurality of application components are assigned, the assigning the insurance application including;

each component category being respectively defined as cat1, cat2, and cat3, and cat1 being assigned a level1, cat 2 being assigned level2, and cat3 being assigned level3;

respectively determining a particular category to which to assign each application component based on sequentially;

determining whether each application component possesses a level of level1 or higher and assigning such application component to cat1;

determining whether each application component possesses a level of level2 or higher and assigning such application component to cat2;

determining whether each application component possesses a level of level3 or higher and assigning such application component to cat3;

assigning the insurance application to a category based on a distribution of what component categories the application components are assigned; and

outputting the specific application category to which the insurance application is assigned.

8. The method according to claim 7, wherein the plurality of component categories are each assigned to one of the plurality of application categories.

9. The method according to claim 7, wherein the step of evaluating the plurality of application components includes the sub-steps of:

defining the rules;

assigning the rules to a plurality of components; and

defining a plurality of parameters associated with the rules, wherein each parameter corresponds to a particular category of the plurality of component categories.

10. The method according to claim 9, wherein the plurality of component categories are each assigned to one of the plurality of application categories.

11. The method according to claim 7, wherein the rules are fuzzy logic rules.

12. A computer program stored on a computer readable medium, wherein the computer program causes a computer to perform the steps of:

receiving a request to underwrite an insurance application, wherein the insurance application includes a plurality of application components;

evaluating the plurality of application components based on rules associated with the application components;

assigning measurements to the application components, such that each application component is assigned a level; and

assigning each of the application components to a specific component category out of a plurality of component categories based on the assigned measurement, including;

each component category being respectively defined as cat1, cat2, and cat3, and cat1 being assigned a level1, cat2 being assigned level2, and cat3 being assigned level3;

respectively determining a particular category to which to assign each application component based on sequentially;

determining whether each application component possesses a level of level1 or higher and assigning such application component to cat1;

determining whether each application component possesses a level of level2 or higher and assigning such application component to cat2;

determining whether each application component possesses a level of level3 or higher and assigning such application component to cat3;

assigning the insurance application to a category based on a distribution of what component categories the application components are assigned.

13. The computer readable medium according to claim 12, wherein the step of evaluating the application components includes the sub-steps of:

defining the rules;

assigning the rules to a plurality of application components; and

defining a plurality of parameters associated with the rules, wherein each parameter corresponds to a particular component category of the plurality of component categories.

14. The computer readable medium according to claim 12, wherein the rules are fuzzy logic rules.

15. A computer program stored on a computer readable medium, wherein the computer program causes a computer to act as a system comprising:

a receiver for receiving a request to underwrite an insurance application, wherein the insurance application includes a plurality of application components;

an evaluation module for evaluating the plurality of application components based on rules associated with the application components; and

an assignment module for;

a) assigning measurements to the application components, such that each application component is assigned a level; and

b) assigning each of the application components to a specific component category out of a plurality of component categories based on the assigned measurements, including;

each component category being respectively defined as cat1, cat2, and cat3, and cat1 being assigned a level1, cat 2 being assigned level2, and cat3 being assigned level3;

respectively determining a particular category to which to assign each application component based on sequentially;

determining whether each application component possesses a level of level1 or higher and assigning such application component to cat1;

determining whether each application component possesses a level of level2 or higher and assigning such application component to cat2;

determining whether each application component possesses a level of level3 or higher and assigning such application component to cat3;

assigning the insurance application to a category based on a distribution of what component categories the application components are assigned.

16. The computer readable medium according to claim 15, wherein the evaluation of the at least one application component includes:

defining the rules;

assigning the rules to the plurality of application components; and

defining a plurality of parameters associated with the rules, wherein each parameter corresponds to a particular component category of the plurality of component categories.

17. The computer readable medium according to claim 16, wherein the assignment module further assigns the insurance application to a specific application category out of a plurality of application categories, wherein the specific application category is based at least in part on the one or more assigned specific component categories.

18. The computer readable medium according to claim 15, wherein the rules are fuzzy logic rules.