System and method for evaluating insurance member activity and pricing insurance products

• US 20050102172A1
• Filed: 10/27/2004
• Published: 05/12/2005
• Est. Priority Date: 10/31/2003
• Status: Abandoned Application

• Current Assignee: James R. Sirmans Jr
• Original Assignee: James R. Sirmans Jr
• Inventors: Sirmans, James R. Jr.
• Application Number:
  US10/974,186
• Publication Number:
  US 20050102172A1
• Time in Patent Office: Days
• US Class Current: 705/4
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03
• CPC Class Codes: G06Q 40/08 Insurance

Abstract

The present invention relates to systems and methods for evaluating and establishing pricing of insurance products based on insured member compliance to health-promoting measures. Member participation in health-promoting measures are monitored and used as a basis for establishing incentives (i.e., reduction in insurance premiums) for said member. In one embodiment, exercise/activity monitors are worn by members to verify their identity and to record insurance member compliance in performing health-promoting measures (i.e., heart rate, type of exercise, exercise intensity and duration). All health-related information, including physical examination results and recorded participation in health-promoting measures, are used to determine appropriate incentives (i.e., subsidize membership fees for health club) to be rewarded to said member.

Claims

1. A method for providing incentives from an insurance carrier to an insurance member to perform health-promoting measures comprising:

a) assessing the insurance member'"'"'s health;

b) establishing a list of at least one health-promoting measure and at least one financial incentive to be presented to the insurance member based on the assessment of health;

c) monitoring the insurance member'"'"'s compliance in performing said at least one health-promoting measure; and

d) assessing the appropriate at least one financial incentive to be presented to the insurance member based on monitored compliance.

2. The method according to claim 1, wherein the at least one health-promoting measure is selected from the group of activities consisting of exercise performed;

activities dedicated to improving or maintaining mental and emotional balance and health;

activities dedicated to improving or maintaining relationship wellness; and

activities dedicated to improving or maintaining nutritional or dietary habits.

3. The method according to claim 2, wherein the at least one health-promoting measure is a combination of the group of activities.

4. The method according to claim 2, wherein the exercise is performed on an exercise machine, and wherein the exercise machine is selected from the group consisting of stationary bicycles, stair climbers, steppers, rowing machines, ski machines, treadmills, cross trainers, hiking machines, abdominal exercise machines, elliptical exercise machines, and strength-training and weight machines.

5. The method according to claim 4, wherein the health-promoting measure is exercise performed on the exercise machine and the step of monitoring the insurance member'"'"'s compliance in using the exercise machine further comprises the steps of recording the identity of the individual using the exercise machine, and monitoring the type of exercise being performed by the individual;

the intensity and duration of exercise, and the member'"'"'s physiological conditions.

6. The method according to claim 2, wherein the activity directed to improving or maintaining mental and emotional balance and health comprises attending meditation courses or yoga classes.

7. The method according to claim 6, wherein the health-promoting measure is the activity directed to improving or maintaining mental and emotional balance and health, wherein the step of monitoring the insurance member'"'"'s compliance in improving or maintaining mental and emotional balance and health comprises recording member attendance.

8. The method according to claim 2, wherein the activity directed to improving or maintaining nutritional dietary habits comprises meetings to address weight control meetings, or visits with a nutritional specialist.

9. The method according to claim 1, wherein the health-promoting measures are wellness visits with a clinician.

10. The method according to claim 1, further comprising the step of selecting the health-promoting measures to be performed by the member.

13. The method according to claim 1, wherein the financial incentives are selected from the group consisting of discounted insurance premiums, decreased cost of member co-payments, payment of bonuses, subsidization of fees associated with performing the health-promoting measure, and payment of fees associated with performing the health-promoting measure.

11. The method according to claim 11, wherein the member selects the health-promoting measures to be performed by the member.

12. The method according to claim 11, wherein the insurance carrier selects the health-promoting measures to be performed by the member.

14. A system for providing cost-effective insurance coverage to insurance members and promoting healthy insurance members, said system comprising:

a) a means for monitoring an insurance member'"'"'s performance of at least one health-promoting measure;

b) a centralized computer;

c) a means for communicating monitored performance of at least one health-promoting measure to the centralized computer; and

d) a means for assessing appropriate financial incentives to be presented to the insurance member based on monitored performance.

15. The system according to claim 14, wherein the means for monitoring the insurance member'"'"'s performance is an exercise machine comprising a monitoring means and a means for recording the identity of the insurance member.

16. The system according to claim 14, wherein the centralized computer comprises a central processing unit.

17. The system according to claim 16, wherein the central processing unit performs program codes for a statistical data management continuum program.

18. The system according to claim 16, wherein the central processing unit performs program codes to summarize the member'"'"'s performance of the at least one health-promoting measure.

19. The system according to claim 14, wherein the at least one health-promoting measure is a non-exercise related health-promoting measure and the means for monitoring comprises a recordation means.

20. The system according to claim 19, wherein the recordation means is selected from the group consisting of a person, a computerized system, or a mechanical device.

21. The system according to claim 14, wherein the financial incentives are selected from the group consisting of discounted insurance premiums, decreased cost of member copayments, payment of bonuses, subsidization of fees associated with performing the health-promoting measure, and payment of fees associated with performing the health-promoting measure.

22. The system according to claim 14, wherein the means for monitoring the insurance member'"'"'s performance is a personal monitoring device that comprises at least one sensor and a transmitter.

23. The system according to claim 22, wherein the personal monitoring device further comprises a means for recording the identity of the insurance member.

24. A computer readable medium containing program instructions for displaying member data on a display device of a computer system, the data being obtained from tables in a database associated with the computer system, said computer readable medium comprising:

first computer program code for receiving data regarding a member'"'"'s health;

second computer program code for establishing a list of at least one health-promoting measure and at least one financial incentive to be presented to the insurance member based on the assessment of health;

third computer program code for assessing the insurance member'"'"'s health;

fourth computer program code for monitoring the insurance member'"'"'s compliance in performing said at least one health-promoting measure based on assessment of health; and

fifth computer program code assessing the appropriate at least one financial incentive to be presented to the insurance member based on monitored compliance.