SYSTEMS AND METHODS FOR PROCESSING CREDITS FOR DISTANCE-BASED INSURANCE POLICIES

• US 20140257865A1
• Filed: 03/10/2014
• Published: 09/11/2014
• Est. Priority Date: 03/10/2013
• Status: Abandoned Application

• Current Assignee: State Farm Mutual Automobile Insurance Company (State Farm)
• Original Assignee: State Farm Mutual Automobile Insurance Company (State Farm)
• Inventors: Gay, Christopher E., Christensen, Scott T., Hayward, Gregory, Cielocha, Steven, Binion, Todd
• Application Number:
  US14/202,660
• Publication Number:
  US 20140257865A1
• Time in Patent Office: Days
• US Class Current: 705/4
• CPC Class Codes: B60C 1/00 Tyres characterised by the chemical composition or the physical arrangement or mixture of the composition
• CPC Class Codes: B60Q 1/00 Arrangement of optical signalling or lighting devices, the mounting or supporting thereof or circuits therefor for lighting vehicle interior B60Q3/00
• CPC Class Codes: B60R 25/20 Means to switch the anti-theft system on or off
• CPC Class Codes: G06Q 10/0635 Risk analysis of enterprise or organisation activities
• CPC Class Codes: G06Q 30/0207 Discounts or incentives, e.g. coupons or rebates
• CPC Class Codes: G06Q 30/0208 Trade or exchange of goods or services in exchange for incentives or rewards
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/08 Insurance
• CPC Class Codes: G07C 5/00 Registering or indicating the working of vehicles
• CPC Class Codes: G07C 5/008 communicating information to a remotely located station transmission systems for measured values G08C
• CPC Class Codes: G08G 1/096838 where the user preferences are taken into account or the user selects one route out of a plurality
• CPC Class Codes: H04W 4/40 for vehicles, e.g. vehicle-to-pedestrians [V2P]

Abstract

Methods and systems for processing credits for customers having distance-based insurance policies for vehicles. According to aspects, a distance-based insurance policy of a vehicle specifies an amount of distance units for insured vehicle travel and has an associated policy term. Upon expiration of the policy term, an insurance provider receives an odometer reading and uses the odometer reading to calculate an amount of unused distance units. The insurance provider may determine one or more types of credit that are based on the amount of unused distance units. The insurance provider may also apply the one or more types of credit to an account of the customer.

Claims

1. A computer-implemented method of crediting customers having vehicle insurance policies, the method comprising:

facilitating, by a processor, a purchase transaction with a customer for a distance-based insurance policy associated with a vehicle, a coverage provided by the distance-based insurance policy (1) is based on an expiration odometer value defined as the sum of an initial odometer reading of the vehicle and an amount of distance units specified by the distance-based insurance policy, and (2) expires at a pre-determined time;

responsive to the pre-determined time expiring, receiving a subsequent odometer reading of the vehicle;

based on the subsequent odometer reading, determining, by the processor, that the expiration odometer value has not been reached; and

applying a credit to an account of the customer.

2. The computer-implemented method of claim 1, wherein applying the credit to the account of the customer comprises:

calculating a difference in distance between the subsequent odometer reading and the expiration odometer value; and

applying the credit to the account of the customer, the credit based on the difference in distance.

3. The computer-implemented method of claim 2, wherein applying the credit to the account of the customer comprises:

crediting the account of the customer with a credit of distance units according to the different in distance.

4. The computer-implemented method of claim 2, wherein applying the credit to the account of the customer comprises:

calculating a monetary credit based on the difference in distance; and

applying the monetary credit to the account of the customer.

5. The computer-implemented method of claim 2, wherein applying the credit to the account of the customer comprises:

calculating a discount offer based on the difference in distance, the discount offer for use on a future insurance policy term; and

applying the discount offer to the account of the customer.

6. The computer-implemented method of claim 2, wherein applying the credit to the account of the customer comprises:

calculating, based on the difference in distance, (1) a monetary accrual amount and (2) a monetary credit;

providing the customer with an option to select, as a credit, either the monetary accrual amount or the monetary credit;

receiving a selected credit from the customer; and

processing the account of the customer based on the selected credit.

7. The computer-implemented method of claim 6, wherein when the selected credit is the monetary accrual amount, processing the account of the customer based on the selected credit comprises:

crediting an account of the customer with the monetary accrual amount.

8. The computer-implemented method of claim 6, wherein when the selected credit is the monetary credit, processing the account of the customer based on the selected credit comprises:

applying the monetary credit to the account of the customer.

9. The computer-implemented method of claim 1, wherein receiving the subsequent odometer reading of the vehicle comprises:

requesting the customer to provide the subsequent odometer reading; and

receiving the subsequent odometer reading of the vehicle from at least one of an electronic device of the vehicle and an electronic device of the customer.

10. The computer-implemented method of claim 1, wherein receiving the subsequent odometer reading of the vehicle comprises:

responsive to the pre-determined time expiring, automatically requesting the customer to provide the subsequent odometer reading; and

receiving the subsequent odometer reading from the customer.

11. A system for crediting customers having vehicle insurance policies, comprising:

a communication module adapted to communicate data;

a memory adapted to store non-transitory computer executable instructions; and

a processor adapted to interface with the communication module, wherein the processor is configured to execute the non-transitory computer executable instructions to cause the processor to;

facilitate a purchase transaction with a customer for a distance-based insurance policy associated with a vehicle, a coverage provided by the distance-based insurance policy (1) is based on an expiration odometer value defined as the sum of an initial odometer reading of the vehicle and an amount of distance units specified by the distance-based insurance policy, and (2) expires at a pre-determined time, responsive to the pre-determined time expiring, receive a subsequent odometer reading of the vehicle via the communication module,

based on the subsequent odometer reading, determine that the expiration odometer value has not been reached, and

apply a credit to an account of the customer.

12. The system of claim 11, wherein to apply the credit to the account of the customer, the processor is configured to:

calculate a difference in distance between the subsequent odometer reading and the expiration odometer value, and

apply the credit to the account of the customer, the credit based on the difference in distance.

13. The system of claim 12, wherein to apply the credit to the account of the customer, the processor is configured to:

credit the account of the customer with a credit of distance units according to the different in distance.

14. The system of claim 12, wherein to apply the credit to the account of the customer, the processor is configured to:

calculate a monetary credit based on the difference in distance, and apply the monetary credit to the account of the customer.

15. The system of claim 12, wherein to apply the credit to the account of the customer, the processor is configured to:

calculate a discount offer based on the difference in distance, the discount offer for use on a future insurance policy term, and

apply the discount offer to the account of the customer.

16. The system of claim 12, wherein to apply the credit to the account of the customer, the processor is configured to:

calculate, based on the difference in distance, (1) a monetary accrual amount and (2) a monetary credit,

provide the customer with an option to select, as a credit, either the monetary accrual amount or the monetary credit,

receive a selected credit from the customer via the communication module, and

process the account of the customer based on the selected credit.

17. The system of claim 16, wherein to process the account of the customer when the selected credit is the monetary accrual amount, the processor is configured to:

credit an account of the customer with the monetary accrual amount.

18. The system of claim 16, wherein to process the account of the customer when the selected credit is the monetary credit, the processor is configured to:

apply the monetary credit to the account of the customer.

19. The system of claim 11, wherein to receive the subsequent odometer reading of the vehicle, the processor is configured to:

request the customer to provide the subsequent odometer reading, and

receive, via the communication module, the subsequent odometer reading of the vehicle from at least one of an electronic device of the vehicle and an electronic device of the customer.

20. The system of claim 11, wherein to receive the subsequent odometer reading of the vehicle, the processor is configured to:

responsive to the pre-determined time expiring, automatically request the customer to provide the subsequent odometer reading, and

receive, via the communication module, the subsequent odometer reading from the customer.