Separation insurance system

Abstract

Described is a computerized system for offering financing to applicants seeking financing for the purchase of real estate. The system comprises gathering information from the applicants regarding the applicants and the real estate; calculating, with computerized software, a separation insurance policy premium for the applicants based upon this and other information; determining the insurance policy price with the mortgage financing; offering the mortgage financing, coupled with the insurance premium, to the applicants; if the applicants accept, entering into a legally binding agreement memorializing the separation insurance policy; periodically and regularly charging the calculated periodic amount to the applicants; and administering the separation insurance in such a manner that, upon divorce or legal separation of the applicants, payments are made on behalf of the applicants for the real estate.

1 . A method comprising:
 collecting information about applicants for an insurance policy having a divorce or legal separation clause, wherein the applicants are also applying for financing of refinancing of a real estate loan that includes periodic payments from an entity;   entering the information into a computerized software program;   calculating, utilizing at least some of the collected information and via the computerized software program, a periodic amount that would be charged the applicants for the insurance policy if the insurance policy were issued, said calculated periodic amount to include the real estate loan payment;   transmitting information concerning the periodic amount to be charged by the entity to the applicants for the applicants' consideration;   offering the insurance policy to the applicants;   the applicants accepting or declining the offered insurance policy and, wherein, upon accepting the offered insurance policy, creating a legally binding document memorializing the insurance policy by transforming a blank document with at least some of the information, by computer or other electronic means, into a completed, legally binding document, wherein the completed, legally binding document sets forth terms and conditions of the insurance policy;   transmitting the completed, legally binding document to the applicants;   periodically and regularly charging the calculated periodic amount to the applicants;   periodically and regularly paying the periodic amount for the insurance policy on behalf of the applicants; and   the entity administering the insurance policy in such a manner that, upon divorce or legal separation of the applicants, at least some of any remaining periodic payments under the real estate loan to be charged the applicants are paid under the insurance policy for the benefit of the applicants.   
     
     
         2 . The method according to  claim 1 , wherein the entity only offers to the applicants real estate loans having the insurance policy. 
     
     
         3 . The method according to  claim 1 , wherein the calculated periodic amount is changed in view of changed circumstances. 
     
     
         4 . The method according to  claim 3 , wherein the changed circumstances include a change in value of the real estate underlying the real estate loan. 
     
     
         5 . The method according to  claim 1 , further comprising utilizing means to prevent or to reduce fraud on the part of the applicants with respect to the insurance policy. 
     
     
         6 . The method according to  claim 1 , wherein the insurance policy includes terms relating to the passing away of one of the applicants. 
     
     
         7 . The method according to  claim 1 , wherein the insurance policy comprises a clause providing a payment at an end date of the insurance policy if the applicants do not legally divorce or separate. 
     
     
         8 . The method according to  claim 5 , wherein payment under the insurance policy is dependent upon the applicants periodically and regularly paying the entity the periodic amount for at least a period of two years before making a claim. 
     
     
         9 . The method according to  claim 5 , wherein the insurance policy comprises a clause for a minimum duration of the subject contractual relationship before any coverage is obtained or a clause limiting coverage for a certain time interval after the initiation of the insurance policy. 
     
     
         10 . The method according to  claim 1 , wherein the applicants receive a reduced interest rate on the underlying real estate loan financing in consideration for paying for the insurance policy. 
     
     
         11 . The method according to  claim 10 , wherein, if divorce or separation of the applicants occurs during the insurance policy's term, the applicants owe the entity a higher interest rate on the real estate financing. 
     
     
         12 . In a method of offering financing to applicants comprising a couple seeking financing for purchase of a piece of residential real estate, the improvement comprising:
 gathering information from the applicants regarding the applicants and the residential real estate to be financed and entering that information into computerized software;   calculating, with the computerized software, a separation insurance premium for the applicants based upon the information, said separation insurance premium being in addition to any payments for the real estate financing, said separation insurance premium and payments for the real estate financing being a calculated periodic amount;   offering the real estate loan financing, coupled with the separation insurance premium, to the applicants as a calculated periodic amount;   if the applicants accept the offer, creating a legally binding document memorializing a insurance policy by transforming a blank document with at least some of the gathered information, by computer or other electronic means, into a completed, legally binding document, wherein the completed, legally binding document sets forth terms and conditions of the separation insurance policy, and transmitting a copy of the completed, legally binding document to the applicants;   periodically and regularly charging the calculated periodic amount to the applicants; and   administering the insurance policy in such a manner that, upon divorce or legal separation of the applicants, a portion of the payments for the real estate financing is paid for the benefit of the applicants.   
     
     
         13 . The method according to  claim 12 , wherein risks associated with the separation insurance are offset by requiring payment of a pre-determined percentage of any increase in value in the underlying real estate to an insurer in the event the applicants divorce or separate. 
     
     
         14 . (canceled) 
     
     
         15 . A process for generating an insurance quote to be charged applicants for a real estate loan from a lender, wherein
 the real estate loan is intended to fund a purchase of real estate by the applicants,   the applicants comprise a legally cohabiting couple intending to purchase the real estate, and   the insurance quote is for insurance insuring the legal separation or divorce of the legally cohabiting couple and is for the benefit of the applicants, the process comprising:   gathering cohabitation data from the applicants concerning their cohabitation;   entering the gathered cohabitation data into a computer comprising a central processing unit and memory storage means;   determining the acceptability of the real estate loan for the applicants and depicting the acceptability on a video monitor associated with the computer;   obtaining data from a lender's electronic database, wherein at least a first portion of the data in the lender's electronic database is provided to the lender by the applicants in connection with obtaining the real estate loan from the lender;   automatically underwriting an insurance risk for purchase of the real estate in view of the data and the cohabitation data;   generating the insurance quote for payments from the applicants to start with the real estate loan utilizing the data obtained from the lender's electronic database, the insurance quote being for the provision of insurance to cover purchase of the real estate intended to be purchased by the applicants and for the direct benefit of the applicants utilizing the real estate loan upon the event of the divorce or legal separation of the applicants; and   advising the applicants of the acceptability of the real estate loan and providing the insurance quote to the applicants contemporaneously therewith if the real estate loan has been accepted.   
     
     
         16 . The process of  claim 15 , wherein the insurance quote is provided by the lender to the applicants. 
     
     
         17 . The process of  claim 15 , wherein the insurance quote is provided by an insurance provider to the applicants or the lender. 
     
     
         18 . The process of  claim 17 , wherein underwriting the insurance risk further comprises:
 providing a plurality of insurance companies for underwriting the insurance risk; and   determining a set of terms for each of the plurality of insurance companies for which each of the plurality of insurance companies will accept the insurance risk.   
     
     
         19 . The process of  claim 15 , wherein issuance of the real estate loan to allow the applicants to purchase the real estate is conditional upon acceptance of the insurance and entry into a contract therefor. 
     
     
         20 . The process of  claim 15 , further comprising:
 storing the data in the computer after providing the insurance quote; and   providing an additional insurance quote in response to a request by the applicants.   
     
     
         21 . The process of  claim 15 , wherein a second portion of the data is obtained from a credit bureau.