Insurance product, rating system and method
AssigneeHartford Steam Boiler Inspection and Insurance Company
InventorsRichard M. Jones, Gregory M. Barats
Life of this patent
Estimating the term…
Abstract
In the present invention, an insurance product, rating system and method generally relates to a rating and pricing system for quantifying the risk that the annual savings will not fall below specified levels associated with implementing and maintaining economic improvements. The product, system and method can be applied to various industries, including, power generation, petro-chemical, manufacturing and refining facilities. Various embodiments disclosed herein relate to systems and products for providing a computer implemented insurance product.
Claims30
A system for providing a computer implemented insurance product for insuring an insured's projected savings from an improvement program, the system comprising:
- a user interface that receives a risk acceptance value for the improvement program;
- a storage unit used to receive and store:
- savings criteria for the improvement program;
- risk distribution data corresponding to the savings criteria, wherein risk distribution data is compiled from a plurality of projected savings values for the improvement program and the corresponding probabilities of achieving the respective savings values;
- and
- the risk acceptance value for the improvement program;
- and
- a processor programmed with executable code that when executed, causes the processor to:
- determine a confidence level based on the risk acceptance value and the risk distribution data for the improvement plan;
- calculate a loss cost premium for insuring the projected savings from implementing the improvement program based on the risk acceptance value, the confidence level, and the risk distribution data;
- and
- generate the insurance product comprising the savings criteria.
A non-transitory computer readable storage medium encoded with a computer program for providing an insurance product for insuring an insured's projected savings from an improvement program, the program comprising instructions that when executed by one or more computers cause the one or more computers to perform operations comprising:
- receiving a risk acceptance value for the improvement program;
- receiving and storing:
- savings criteria for the improvement program;
- risk distribution data corresponding to the savings criteria, wherein risk distribution data is compiled from a plurality of projected savings values for the improvement program and the corresponding probabilities of achieving the respective savings values;
- and
- the risk acceptance value for the improvement program;
- determining a confidence level based on the risk acceptance value and the risk distribution data for the improvement plan;
- calculating a loss cost premium for insuring the projected savings from implementing the improvement program based on the risk acceptance value, the confidence level, and the risk distribution data;
- and
- generating the insurance product comprising the savings criteria.
Dependencies are inferred from the claim text.