Insurance products and related methods and systems

Abstract

A method of structuring a life insurance product includes: selecting one or more insureds from a pool of applicants; collecting at least one premium payment, the at least one premium payment comprising a charge for cost of insurance; issuing at least one policy covering the one or more insureds, the at least one policy having a cash value and a death benefit; placing the at least one premium payment into an account, thereby populating the account with assets; investing the assets thereby generating a rate of return; tying the cash value and death benefit amounts to the rate of return; creating a mortality fluctuation reserve, adding the mortality fluctuation reserve to the account, and investing the reserve; and calculating a mortality experience credit upon satisfying certain criteria. Associated data processing methods and systems are also described.

1 - 51 . (canceled) 
     
     
         52 . A method of structuring a life insurance product, the method comprising:
 selecting one or more insureds from a pool of applicants;   collecting at least one premium payment, the at least one premium payment comprising a charge for cost of insurance;   issuing at least one policy covering the one or more insureds, the at least one policy having a cash value and a death benefit;   placing the at least one premium payment into an account, thereby populating the account with assets;   investing the assets thereby generating a rate of return;   tying the cash value and death benefit amounts to the rate of return;   creating and funding a mortality fluctuation reserve to stabilize the mortality experienced under the at least one policy, the reserve comprising the amount of funding less a net amount paid for death benefits,   adding the mortality fluctuation reserve to the account, and investing the reserve; and   periodically paying a mortality experience credit in the event that the actual mortality rate is more favorable than a predicted mortality rate, and to the extent that the mortality fluctuation reserve exceeds a maximum threshold value.   
     
     
         53 . The method of  claim 52 , further comprising aggregating at least one thousand polices together. 
     
     
         54 . The method of  claim 52 , wherein the death benefit is payable upon death of the insured, prior to age one hundred. 
     
     
         55 . The method of  claim 52 , wherein the cash value is payable upon termination of the policy or upon the insured reaching age one hundred. 
     
     
         56 . The method of  claim 52 , wherein the premium is paid with a single payment. 
     
     
         57 . The method of  claim 52 , further comprising the insured assigning their rights in the policy to a non-profit or charitable organization, a supporting organization of the non-profit or charitable organization, or an entity with insurable interest rights. 
     
     
         58 . The method of  claim 52 , wherein the premium is paid by the non-profit or charitable organization, a supporting organization of the non-profit or charitable organization, or an entity with insurable interest rights. 
     
     
         59 . The method of  claim 58 , wherein the non-profit or charitable organization, or agent thereof directs the allocation of the assets among a plurality of investments. 
     
     
         60 . The method of  claim 52 , further comprising determining the premium based on the 1980 Commissioner's Standard Ordinary Male and Female Tables, the at least one insured's age, and 4 percent interest. 
     
     
         61 . The method of  claim 52 , further comprising issuing an interest crediting rate on a periodic basis, wherein the crediting rate is equal to the anticipated gross investment return rate for the at least one account, less investment expense and a margin of profit. 
     
     
         62 . The method of  claim 52 , further comprising deducting a percentage from the gross returns on the invested assets before applying the returns to the cash value. 
     
     
         63 . The method of  claim 62 , wherein the deduction is made on a monthly basis. 
     
     
         64 . The method of  claim 52 , further comprising calculating a cost of insurance charge and deducting said charge from the cash value of the at least one policy on an annual basis, at the end of the year. 
     
     
         65 . The method of  claim 52 , wherein the death benefit is payable only at the end of the calendar policy year 
     
     
         66 . The method of  claim 52 , further comprising adjusting the face value of the policy in order to maintain qualification of the at least one policy as a modified endowment contract. 
     
     
         67 . The method of  claim 52 , wherein the mortality experience credit is paid annually. 
     
     
         68 . The method of  claim 52 , wherein the maximum threshold value is approximately two-times the cost of insurance. 
     
     
         69 . The method of  claim 52 , further comprising the one or more insureds granting consent to a nonprofit or charitable organization, a supporting organization of a non-profit or charitable organization, or an entity with insurable interest rights, to have the policy issued to cover their lives, and assigning all rights in the policy to the organization or entity. 
     
     
         70 . A data processing method for initiating, structuring and managing an insurance product, the method comprising:
 providing a data processing device comprising an input device, an output device, a processor and a memory;   inputting information from a pool of insurance applicants into the data processing device via the input device;   selecting one or more insureds from the pool of inputted applicants by comparison of the inputted information from each applicant stored in the memory using predetermined criteria;   calculating the amount of at least one premium payment using, at least in part, cost of insurance information stored in the memory;   generating at least one policy document utilizing, at least in part, the output device, the policy document comprising cash value and a death benefit information;   associating the at least one premium payment with an account, the account being invested to generate a rate of return;   inputting the rate of return into the memory, and calculating at least one cash value and death benefit value based, at least in part, on the rate of return;   calculating a mortality fluctuation reserve to stabilize the mortality experienced under the at least one policy, the reserve comprising an amount of funding less a net amount paid for death benefits, and associating the reserve with the account; and   periodically calculating a mortality experience credit in the event that the actual mortality rate is more favorable than a predicted mortality rate, and to the extent that the amount of the mortality fluctuation reserve that exceeds a maximum threshold amount.   
     
     
         71 . A data processing system comprising a data processing device, the device comprising means for:
 inputting information from a pool of insurance applicants into the data processing device;   selecting one or more insureds from the pool of inputted applicants by comparison of the inputted information from each applicants using predetermined criteria;   calculating the amount of at least one premium payment using, at least in part, cost of insurance information;   generating at least one policy document utilizing, at least in part, the output device, the policy document comprising cash value and death benefit information;   associating the at least one premium payment with an account, the account being invested to generate a rate of return;   inputting the rate of return, and calculating at least one cash value and death benefit value based, at least in part, on the rate of return;   calculating a mortality fluctuation reserve to stabilize the mortality experienced under the at least one policy, the reserve comprising an amount of funding less a net amount paid for death benefits, and associating the reserve with the account;   periodically calculating a mortality experience credit in the event that the actual mortality rate is more favorable than a predicted mortality rate, and to the extent that the mortality fluctuation reserve exceeds a maximum threshold amount.