System and method of classifying vehicle insurance applicants

• US 20070226014A1
• Filed: 03/22/2006
• Published: 09/27/2007
• Est. Priority Date: 03/22/2006
• Status: Abandoned Application

• Current Assignee: Bisrat Alemayehu, Yeshihareg Agga
• Original Assignee: Bisrat Alemayehu, Yeshihareg Agga
• Inventors: Alemayehu, Bisrat, Agga, Yeshihareg
• Application Number:
  US11/386,282
• Publication Number:
  US 20070226014A1
• Time in Patent Office: Days
• US Class Current: 705/4
• CPC Class Codes: G06Q 40/06 Asset management; Financial planning or analysis
• CPC Class Codes: G06Q 40/08 Insurance

Abstract

A method of evaluating insurance risk of a vehicle insurance applicant provides identifying a plurality of temporal identifiers related to acquired driving experience for the applicant, where the temporal identifiers include valid license duration, license elements duration, credit duration, no-need no-prior submission, learner permit duration, no license violation duration; and assigning a value to each of the identified temporal identifiers. The method includes identifying a plurality of exception identifiers related to a driving record of the applicant, where the exception identifiers include evidence of prior valid license, evidence of prior violations, evidence of accident record, and evidence of prior vehicle insurance; and assigning a value to each of the identified exception identifiers. The method includes calculating a driver rating based upon the value assigned to each of the temporal and exception identifiers, and classifying the applicant into categories of inexperienced adult driver, unverifiable driving history, or an inexperienced driver.

Claims

1. A method of evaluating insurance risk of a vehicle insurance applicant, the method comprising:

identifying a plurality of temporal identifiers related to acquired driving experience for the applicant, the temporal identifiers selected from the group consisting of valid license duration, license elements duration, credit duration, no-need no-prior submission, learner permit duration, no license violation duration;

assigning a value to each of the identified temporal identifiers;

identifying a plurality of exception identifiers related to a driving record of the applicant, the exception identifiers selected from the group consisting of evidence of prior valid license, evidence of prior violations, evidence of accident record, and evidence of prior vehicle insurance;

assigning a value to each of the identified exception identifiers;

calculating a driver rating based upon the value assigned to each of the temporal and exception identifiers; and

classifying the applicant into one of an inexperienced adult driver category, an unverifiable driving history category, and an inexperienced driver category based upon the driver rating.

2. The method of claim 1, wherein the step of identifying a plurality of temporal identifiers comprises identifying a recorded driving history for the applicant of less than three years;

and the step of classifying the applicant comprises classifying the applicant into the inexperienced driver category.

3. The method of claim 1, wherein the step of assigning a value to each of the identified temporal identifiers comprises assigning one of an arbitrary value and a lookup value to each of the identified temporal identifiers.

4. The method of claim 1, wherein the step of assigning a value to each of the identified exception identifiers comprises assigning one of an arbitrary value and a lookup value to each of the identified exception identifiers.

5. The method of claim 1, wherein the step of calculating a driver rating comprises:

summing the values for the identified temporal identifiers;

summing the values for the identified exception identifiers; and

subtracting the sum of the values for the identified exception identifiers from the sum of the values for the identified temporal identifiers of the applicant.

6. The method of claim 1, wherein the step of calculating a driver rating comprises calculating a probability factor related to a risk level in underwriting an insurance policy for the applicant.

7. The method of claim 1, further comprising:

using an electronic device in accessing a client-server system to retrieve driver record data of the applicant from the client-server system.

8. The method of claim 7, wherein the step of accessing a client-server system comprises accessing a distributed communication system.

9. The method of claim 7, wherein the step of accessing the client-server system comprises accessing a distributed communication system configured to query a separate program at a host on the distributed communication system.

10. The method of claim 1, further comprising:

underwriting an insurance policy for the applicant based on results obtained from the step of classifying the applicant.

11. A method of evaluating an applicant for vehicle insurance, the method comprising:

collecting a social security number supplied by the applicant;

analyzing the social security number to determine a date of issuance of the social security number; and

classifying the applicant into one of an inexperienced adult driver category, an unverifiable driving history category, and an inexperienced driver category based upon the social security number.

12. The method of claim 11, wherein the step of analyzing the social security number comprises accessing one of a government database and a lookup table database.

13. The method of claim 12, wherein the step of analyzing the social security number comprises electronically retrieving from a client-server system data related to one of an area number, a group number, and a serial number of the social security number.

14. The method of claim 13, wherein the data related to one of an area number, a group number, and a serial number of the social security number comprises geographical region data related to a mailing address of the applicant to which the social security number was issued.

15. The method of claim 14, wherein the step of classifying the applicant comprises classifying the applicant based on the geographical region data.

16. The method of claim 13, wherein the data related to one of an area number, a group number, and a serial number of the social security number comprises data related to a year the social security number was issued to the applicant.

17. A vehicle insurance underwriting system comprising:

a computer system; and

a program operable by the computer system to;

calculate a driver rating based upon comparing a plurality of temporal identifiers related to acquired driving experience for the applicant relative to a plurality of exception identifiers related to a driving record of the applicant, and

classify the applicant into at one of an inexperienced adult driver category, an unverifiable driving history category, and an inexperienced driver category based upon the driver rating.

18. The system of claim 17, wherein the program calculates the driver rating by assigning a value to each exception identifier and each temporal identifier, summing the exception identifier values and summing the temporal identifier values, and subtracting the sum of the exception identifier values from the sum of the temporal identifier values.

19. The system of claim 18, wherein the program calculates the driver rating by offsetting an assigned temporal identifier value with an assigned exception identifier value.

20. The system of claim 18, wherein the program calculates the driver rating by setting to zero a value for one of the temporal identifiers.