“System And Method For Real-Time Screening Of A Disability Insurance Applicant” in Patent Application Approval Process (USPTO 20220301070): State Farm Mutual Automobile Insurance Company

2022 OCT 10 (NewsRx) -- By a News Reporter-Staff News Editor at Insurance Daily News -- A patent application by the inventors Benjamin, Robert (Normal, IL, US); Diffor, John David (Bloomington, IL, US); Etheridge, David Scott (Bloomington, IL, US); Garcia, Eloy (Bloomington, IL, US); Newman, Jeffrey A. (Bloomington, IL, US); Petersen, Randall (Normal, IL, US); Prall, Jeffrey M. (Normal, IL, US); Theile, David A. (Bloomington, IL, US), filed on June 7, 2022, was made available online on September 22, 2022, according to news reporting originating from Washington, D.C., by NewsRx correspondents.

This patent application is assigned to State Farm Mutual Automobile Insurance Company (Bloomington, Illinois, United States).

The following quote was obtained by the news editors from the background information supplied by the inventors: “Many people desire to purchase disability insurance in order to ensure that their monthly financial obligations (especially with regard to, e.g., housing and vehicles payments) will be met if they become disabled and suffer a loss of income. According to one estimate, 26% of people own disability insurance, and 90% of them are between the ages of 25 and 64 years. Applicants for disability insurance may be employed in blue or white collar occupations, and may seek short-term or long-term coverage. However, existing processes for screening applicants for disability insurance and making coverage decisions may be cumbersome, especially for applicants with no or few risk factors for rejection but whose applications may be nevertheless subjected to full underwriting to assess their suitability. Further, existing processes may require insurance agents to classify the occupations of applicants, and mistakes may be made in such classifications that may delay coverage decisions and/or may result in incorrect acceptance or non-acceptance.”

In addition to the background information obtained for this patent application, NewsRx journalists also obtained the inventors’ summary information for this patent application: “Embodiments of the present technology relate to systems and computer-implemented methods for automatically screening applicants for disability insurance in real-time, and if the results are favorable, automatically communicating acceptances and issuing policies.

“In a first aspect, a computer-implemented method may be provided for real-time screening of an applicant for an insurance product. The computer-implemented method may include at least the following performed by an electronic processing element. A plurality of application answers may be received from the applicant via an electronic communications network. The application answers may include a height of the applicant, a weight of the applicant, an identifier for the applicant, and/or an occupation of the applicant. A body mass index number of the applicant may be calculated based upon the height of the applicant and the weight of the applicant, and the applicant may be rejected if their body mass index is below a minimum or above a maximum threshold. A prescription drug history of the applicant may be obtained based upon the identifier for the applicant, and the applicant may be rejected if the prescription drug history shows that the applicant uses one or more of specific drugs. The applicant may be accepted or rejected and a premium for the insurance product may be set based upon the real-time screening results, and the acceptance and the premium or the rejection may be communicated to the applicant via the electronic communications network. As a result, an instant answer and/or online binding disability product (i.e., a product that is bound online via virtual activity) may be provided to online customers, and/or the online customer experience may be enhanced. The method may include additional, less, or alternate actions, including those discussed elsewhere herein, and may be implemented via one or more local or remote processors and/or transceivers, and/or computer-executable instructions stored on non-transitory computer-readable medium or media.

“In a second aspect, a computer system may be provided for real-time screening of an applicant for an insurance product. The system may comprise an electronic communications element configured to communicate via an electronic communications network, and an electronic processing element configured to perform at least the following. A plurality of application answers may be received from the applicant via the electronic communications element. The application answers may include a height of the applicant, a weight of the applicant, an identifier for the applicant, and/or an occupation of the applicant. A body mass index number of the applicant may be calculated based upon the height of the applicant and the weight of the applicant, and the applicant may be rejected if their body mass index is below a minimum or above a maximum threshold. A prescription drug history of the applicant may be obtained based upon the identifier for the applicant, and the applicant may be rejected if the prescription drug history shows that the applicant uses one or more specific drugs. The applicant may be accepted or rejected and a premium for the insurance product may be set based upon the real-time screening results, and the acceptance and the premium or the rejection may be communicated to the applicant via the electronic communications element. As a result, an online applicant may be provided with a disability insurance product that is bound online, and the online customer experience may be enhanced. The computer system may be implemented one or more local or remote processors, transceivers, servers, and/or sensors, and may include additional, less, or alternate functionality, including that discussed elsewhere herein.

“In a third aspect, a non-transitory computer-readable medium with an executable program stored thereon may be provided for real-time screening of an applicant for an insurance product. The computer program may be configured to instruct an electronic processing element to perform at least the following actions. A plurality of application answers from the applicant may be received via an electronic communications network. The application answers may include a height of the applicant, a weight of the applicant, an identifier for the applicant, and/or an occupation of the applicant. A body mass index number of the applicant may be calculated based upon the height of the applicant and the weight of the applicant, and the applicant may be rejected if their body mass index is below a minimum or above a maximum threshold. A prescription drug history of the applicant may be obtained based upon the identifier for the applicant, and the applicant may be rejected if the prescription drug history shows that the applicant uses one or more specific drugs. The applicant may be accepted or rejected a premium for the insurance product may be set based upon the real-time screening results, and, the acceptance and the premium or the rejection may be communicated to the applicant via the electronic communications network. As a result, instant answer disability insurance products may be provided with immediate online binding. The computer-executable instructions may direct one or more processors to perform additional, less, or alternate functionality or actions, including those discussed elsewhere herein.

“Various implementations of any or all of the foregoing aspects may include any one or more of the following additional features. The insurance product may be disability insurance. The plurality of specific drugs may include drugs used to treat serious medical conditions. The electronic processing element may confirm an occupation class assigned to the applicant based upon the occupation of the applicant, and may base the premium for the insurance product at least in part on the confirmed assigned occupation class. The electronic processing element may further obtain a motor vehicle report for the applicant based upon the identifier for the applicant, and may reject the applicant for the insurance product if the motor vehicle report shows that the applicant engages in one or more specific unsafe driving behaviors. The electronic processing element may further obtain an insurance information report for the applicant based upon the identifier for the applicant. This report may contain information on non-medical and medical conditions reported by other members who participate in the insurance information report, which may impact processing of the present products. In one embodiment, a short-term disability product may be provided. Tools use to assess the risk on the short-term disability insurance may include consumer reports or other consumer database information that helps to mitigate anti-selection.

“Advantages of these and other embodiments will become more apparent to those skilled in the art from the following description of the exemplary embodiments which have been shown and described by way of illustration. As will be realized, the present embodiments described herein may be capable of other and different embodiments, and their details are capable of modification in various respects. Accordingly, the drawings and description are to be regarded as illustrative in nature and not as restrictive.

“The Figures depict exemplary embodiments for purposes of illustration only. One skilled in the art will readily recognize from the following discussion that alternative embodiments of the systems and methods illustrated herein may be employed without departing from the principles of the invention described herein.”

The claims supplied by the inventors are:

“1. A computer-implemented method for real-time processing of a request for a product by an electronic processing element, comprising: receiving, via a network, information about an individual associated with, the request including a prescription drug history; automatically calculating a body mass index of the individual based upon the information; automatically rejecting the request if either the body mass index is outside a range or the prescription drug history shows that the individual uses one or more specific drugs; and automatically transmitting a real-time acceptance or rejection of the request to a mobile device of the individual over the network via a transceiver in communication with the electronic processing element.

“2. The computer-implemented method of claim 1, wherein the product is disability insurance.

“3. The computer-implemented method of claim 1, wherein the one or more specific drugs includes drugs used to treat serious medical conditions.

“4. The computer-implemented method of claim 1, further including the electronic processing element confirming an occupation class assigned to the individual based upon an occupation of the individual, and basing a price for the product at least in part upon the confirmed assigned occupation class.

“5. The computer-implemented method of claim 1, further including the electronic processing element obtaining a motor vehicle report for the individual, and automatically rejecting the request if the motor vehicle report for the individual shows that the individual engages in one or more specific unsafe driving behaviors.

“6. The computer-implemented method of claim 1, further including the electronic processing element obtaining income and/or tax information for the individual, and considering the income and/or tax information when accepting or rejecting the request and/or setting a price for the product.

“7. The computer-implemented method of claim 1, wherein if the request is rejected, further including allowing the individual to request the product using an alternate non-real-time process.

“8. A system for real-time processing of a request for a product comprising: a transceiver coupled to a network; and an electronic processing element coupled to the transceiver and configured to-receive, via the transceiver, information about an individual associated with the request including a prescription drug history; automatically calculate a body mass index of the individual based upon the information; automatically reject the request if either the body mass index is outside a range or the prescription drug history shows that the individual uses one or more specific drugs; and automatically transmit a real-time acceptance or rejection of the request to the individual over the network via the transceiver.

“9. The system of claim 8, wherein the real-time acceptance or rejection of the request is automatically transmitted to a mobile device of the individual.

“10. The system of claim 8, wherein the product is disability insurance.

“11. The system of claim 8, wherein the one or more specific drugs includes drugs used to treat serious medical conditions.

“12. The system of claim 8, wherein the electronic processing element is further configured to confirm an occupation class assigned to the individual based upon an occupation of the individual, and to base a price for the product at least in part upon the confirmed assigned occupation class.

“13. The system of claim 8, further including the electronic processing element obtaining income and/or tax information for the individual, and considering the income and/or tax information when accepting or rejecting the request, and/or setting a price for the product.

“14. The system of claim 8, wherein if the request is rejected, the individual is allowed to request the product using an alternate non-real-time process.

“15. A non-transitory computer readable storage medium with a computer program stored thereon for real-time processing of a request for a product wherein the computer program is configured to instruct an electronic processing element to perform actions comprising: receiving, via a network, information about an individual associated with the request including a prescription drug history; automatically calculating a body mass index of the individual based upon the information; automatically rejecting the request, if either the body mass index is outside a range or the prescription drug history shows that the individual uses one or more specific drugs; and automatically transmitting a real-time acceptance or rejection of the request to a mobile device of the individual over the network via a transceiver in communication with the electronic processing element.

“16. The non-transitory computer readable storage medium of claim 15, wherein the product is disability insurance.

“17. The non-transitory computer readable storage medium of claim 15, wherein the one or more specific drugs includes drugs used to treat serious medical conditions.

“18. The non-transitory computer readable storage medium of claim 15, further including the electronic processing element confirming an occupation class assigned to the individual based upon an occupation of the individual, and basing a price for the product at least in part upon the confirmed assigned occupation class.

“19. The non-transitory computer readable storage medium of claim 15, further including the electronic processing element obtaining income and/or tax information for individual, and considering the income and/or tax information when accepting or rejecting the request and/or setting a price for the product.

“20. The non-transitory computer readable storage medium of claim 15, wherein if the request is rejected, further including allowing the individual to request the product using an alternate non-real-time process.”

URL and more information on this patent application, see: Benjamin, Robert; Diffor, John David; Etheridge, David Scott; Garcia, Eloy; Newman, Jeffrey A.; Petersen, Randall; Prall, Jeffrey M.; Theile, David A. System And Method For Real-Time Screening Of A Disability Insurance Applicant. Filed June 7, 2022 and posted September 22, 2022. Patent URL: https://appft.uspto.gov/netacgi/nph-Parser?Sect1=PTO1&Sect2=HITOFF&d=PG01&p=1&u=%2Fnetahtml%2FPTO%2Fsrchnum.html&r=1&f=G&l=50&s1=%2220220301070%22.PGNR.&OS=DN/20220301070&RS=DN/20220301070

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