Method and system for a deferred variable annuity with flexible lifetime benefit payments
First Claim
1. A data processing system for administering a deferred variable annuity contract during the accumulation phase, the annuity contract having a payment base value, a contract value representing an amount of funds subject to investment control by a contract owner and benefit payments, said system comprising:
- a storage device;
a processor coupled to the storage device, the storage device storing modules utilized by the processor for predetermining a series of payout periods, wherein the number of years of each payout period is greater than one year, for predetermining a maximum total withdrawal percent for each payout period, and for calculating the amount of the benefit payment withdrawal for each given year within a given payout period by receiving an instruction from a relevant life that provides a withdrawal percent to use for each given year, the amount of the benefit payment withdrawals decreasing the contract value and thereby reducing the amount of funds subject to investment control by a contract owner; and
wherein the sum of the withdrawal percents from each given year within the payout period is equal to or less than the predetermined maximum total withdrawal percent that is allowed for withdrawal for the given payout period without reduction of the payment base value.
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Accused Products
Abstract
A computer implemented data processing system and method administers a deferred variable annuity contract during the accumulation phase for a relevant life. The annuity contract has a payment base value, a contract value, and benefit payments. The system predetermines a series of payout periods, wherein the number of years of each payout period is greater than one year, for predetermining a maximum total withdrawal percent for each payout period. The product of the maximum total withdrawal percent and the payment base value is a maximum benefit payment amount that may be withdrawn during the payout period without reducing the payment base value.
81 Citations
25 Claims
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1. A data processing system for administering a deferred variable annuity contract during the accumulation phase, the annuity contract having a payment base value, a contract value representing an amount of funds subject to investment control by a contract owner and benefit payments, said system comprising:
a storage device; a processor coupled to the storage device, the storage device storing modules utilized by the processor for predetermining a series of payout periods, wherein the number of years of each payout period is greater than one year, for predetermining a maximum total withdrawal percent for each payout period, and for calculating the amount of the benefit payment withdrawal for each given year within a given payout period by receiving an instruction from a relevant life that provides a withdrawal percent to use for each given year, the amount of the benefit payment withdrawals decreasing the contract value and thereby reducing the amount of funds subject to investment control by a contract owner; and wherein the sum of the withdrawal percents from each given year within the payout period is equal to or less than the predetermined maximum total withdrawal percent that is allowed for withdrawal for the given payout period without reduction of the payment base value.
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2. A system for administering a deferred variable annuity contract during the accumulation phase, the annuity contract having a payment base value, a contract value representing an amount of funds subject to investment control by a contract owner, and benefit payments, comprising:
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a storage device; a processor coupled to the storage device, the storage device storing modules utilized by the processor, the modules comprising; i. a first module for receiving information from a contract owner in order to establish a deferred variable annuity contract; ii a second module for receiving benefit payment withdrawal requests from a relevant life, the benefit payment withdrawals reducing the contract value and thereby reducing the amount of funds subject to investment control by the contract owner; iii. a third module for predetermining a series of payout periods, wherein the number of years of each payout period is greater than one year; iv. a fourth module for predetermining a maximum total withdrawal percent available for each payout period without reduction of the payment base value; and v. a fifth module for calculating the amount of the benefit payment withdrawal for each given year within a given payout period. - View Dependent Claims (3, 4)
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5. A computer implemented data processing method for administering a deferred variable annuity contract during the accumulation phase, the annuity contract having a payment base value, a contract value representing an amount of funds subject to investment control by a contract owner, and available benefit payments, said method comprising the steps of:
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a. determining by a processor the number of years of a first payout period for the benefit payments, wherein the number of years of the first payout period is greater than one year and storing the number of years in a memory device; b. determining by the processor a maximum total withdrawal percent for the first payout period; c. if requested by a relevant life, periodically calculating by the processor a benefit payment withdrawal for the relevant life which decreases the contract value and thereby reduces the amount of funds subject to investment control by the contract owner; wherein the amounts of the benefit payment withdrawals within the first payout period are determined in accordance with an instruction from the relevant life wherein the amounts of the benefit payment withdrawals may differ for each given year within the first payout period; wherein if the sum of the amounts of the benefit payment withdrawals within the first payout period, as provided by the relevant life'"'"'s instruction, is equal to or less than the product of the maximum total withdrawal percent for the first payout period and the payment base value, then the payment base value is not decreased; and wherein the above steps are repeated by the processor at the conclusion of each payout period. - View Dependent Claims (6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25)
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Specification