SYSTEM FOR REDUCING THE RISK ASSOCIATED WITH AN INSURED BUILDING STRUCTURE THROUGH THE INCORPORATION OF SELECTED TECHNOLOGIES

• US 20100153140A1
• Filed: 02/19/2010
• Published: 06/17/2010
• Est. Priority Date: 09/04/2003
• Status: Active Grant

• Current Assignee: Hartford Fire Insurance Company (The Hartford Financial Services Group, Inc.)
• Original Assignee: Hartford Fire Insurance Company (The Hartford Financial Services Group, Inc.)
• Inventors: Helitzer, Jonathon, Kempton, Casey Ellen, Murchie, G. Stewart, Frey, Kelly L., Carvalko, Joseph R. JR.
• Granted Patent: US 8,271,303 B2
• Time in Patent Office: Days
• US Class Current: 705/4
• CPC Class Codes: G06Q 40/08 Insurance

Abstract

A method and computerized system is disclosed for managing the underwriting, quoting and binding an insurance policy with regard to the technology used to militate against the financial consequences of property losses. The invention utilizes a classifier for categorizing and weighing risk, composed of data representing in an identified building, a first unmitigated insurance risk and a second insurance risk, based upon the use of certain technology. A plurality of such weights are summed such that the weights generate a minimized risk for a building structure under consideration. combinations of technologies, employed in existing building structures to a classification, which then permits an underwriter to establish a premium. In another aspect of the invention data structures representing the quantification of risk reduction attendant a given technology or product are chained into a plurality of decision trees that process a construction phase and a pruning phase.

Claims

1-21. -21. (canceled)

22. A system for insuring a building structure by taking into account technologies that mitigate loss comprising:

a database identifying i) a plurality of technologies that reduce risk of loss to an associated building structure and ii) a plurality of building construction types; and

a processor, configured to;

administer, by an insurance company, an insurance policy covering a building structure that incorporates a sensor technology from the plurality of technologies identified in the database, wherein the incorporated sensor technology is capable of outputting data electronically;

obtain, by the insurance company, monitoring data indicating a condition of the building based on data output electronically by the incorporated sensor technology;

obtain, by the insurance company, data indicating a type of construction of the insured building structure;

determine an alteration to a premium for the insurance policy based on the condition of the building indicated in the monitoring data in relation to the type of construction of the building, and

alter the premium of the insurance policy based on the determination.

23. The system of claim 22, wherein the incorporated sensor technology comprises a risk mitigation technology.

24. The system of claim 22, wherein the data output by the incorporated sensor technology is output over a communications network.

25. The system of claim 22, wherein the data output by the incorporated sensor technology is output via a broadcast transmission.

26. The system of claim 23, wherein the processor calculates a utilization rate of the risk mitigation technology based on the sensor data and the determination of the alteration to the premium is further based on the utilization rate.

27. The system of claim 22, wherein the processor is further configured to determine the alteration to the premium based on information stored in the database about the incorporated sensor technology.

28. The system of claim 22, wherein the insurance policy includes an attachment point, and the processor is further configured to determine the alteration to the premium based on the attachment point.

29. The system of claim 22, wherein the processor is further configured to determine the alteration to the premium based on a standard industrial classification code associated with the building structure.

30. A method for insuring a building structure by taking into account technologies that mitigate loss comprising:

maintaining a database identifying i) a plurality of technologies that reduce risk of loss to an associated building structure and ii) a plurality of building construction types;

administering an insurance policy, by an insurance company, covering a building structure that incorporates a sensor technology from the plurality of technologies identified in the database, wherein the incorporated sensor technology is capable of outputting data electronically;

obtaining monitoring data, by the insurance company, indicating a condition of the building based on data output electronically by the incorporated sensor technology;

obtaining monitoring data, by the insurance company, indicating a type of construction of the insured building structure;

determining an alteration to a premium for the insurance policy based on the condition of the building indicated in the monitoring data in relation to the type of construction of the building, and

altering the premium of the insurance policy based on the determination.

31. The method of claim 30, wherein the incorporated sensor technology comprises a risk mitigation technology.

32. The method of claim 30, further comprising outputting, by the incorporated sensor technology, data over a communications network.

33. The method of claim 30, further comprising outputting, by the incorporated sensor technology, data via a broadcast transmission.

34. The method of claim 31, further comprising calculating a utilization rate of the risk mitigation based on the sensor data, and wherein the determination of the alteration to the premium is further based on the utilization rate.

35. The method of claim 30, wherein the determination of the alteration the premium is based on information stored in the database about the incorporated sensor technology.

36. The method of claim 30, wherein the insurance policy includes an attachment point, and the determination of the alteration the premium is based on the attachment point.

37. The method of claim 30, wherein the determination of the alteration the premium is based on a standard industrial classification code associated with the building structure.

38. A system for insuring a building structure by taking into account technologies that mitigate loss comprising:

a database identifying i) a plurality of technologies that reduce risk of loss to an associated building structure and ii) a plurality of building construction types; and

computer executable instructions stored in memory, for causing a processor to;

administer, by an insurance company, an insurance policy covering a building structure that incorporates a sensor technology from the plurality of technologies identified in the database, wherein the incorporated sensor technology is capable of outputting data electronically;

obtain, by the insurance company, monitoring data indicating a condition of the building based on data output electronically by the incorporated sensor technology;

obtain, by the insurance company, data indicating a type of construction of the insured building structure;

determine an alteration to a premium for the insurance policy based on the condition of the building indicated in the monitoring data in relation to the type of construction of the building, and

alter the premium of the insurance policy based on the determination made by the processor.

39. The system of claim 38, wherein the incorporated sensor technology comprises a risk mitigation technology.

40. The system of claim 38, wherein the data output by the incorporated sensor technology is output over a communications network.

41. The system of claim 38, wherein the data output by the incorporated sensor technology is output via a broadcast transmission.

42. The system of claim 39, wherein the computer executable instructions further cause the processor to calculate a utilization rate of the risk mitigation based on the sensor data, and wherein the determination of the alteration to the premium is further based on the utilization rate.

43. The system of claim 38, wherein the computer executable instructions further cause the processor to determine the alteration to the premium based on information stored in the database about the incorporated sensor technology.

44. The system of claim 38, wherein the insurance policy includes an attachment point, and the computer executable instructions further cause the processor to determine the alteration to the premium based on the attachment point.

45. The system of claim 38, wherein the computer executable instructions further cause the processor to determine the alteration to the premium based on a standard industrial classification code associated with the building structure.