Processing an Application for Insurance Coverage

Abstract

Systems and methods provide customizable insurance according to consumer preferences. Demand simulators may be used to guide the creation of optimized packages of features, which consumers may select from to form an insurance product appropriate for their particular needs. Packages may be formed with a particular appeal to consumers with common characteristics. In addition, methods are provided for selling insurance products formed through an optimization process and providing corresponding insurance services.

What is claimed is: 
     
         1 . A method, comprising:
 determining, by a server computing device implementing a computer program for optimizing insurance, a cost of an automobile insurance policy for an initial automobile insurance policy period that provides indemnification and that includes an optional feature that provides a reward;   causing, by the server computing device, the automobile insurance policy to be offered for sale via at least one electronic visual display for the initial automobile insurance policy period that includes the optional feature that provides the reward, wherein causing the automobile insurance policy to be offered for sale via the at least one electronic visual display comprises receiving, by the server computing device, from a first terminal computing device, selection information from a web browser running on the first terminal computing device, the selection information identifying one or more selections made by a user of the web browser running on the first terminal computing device to customize an insurance product;   causing, by the server computing device, the automobile insurance policy to be renewed with the optional feature for a subsequent automobile insurance policy period;   when a first rate-affecting accident occurs during any policy period during which the optional feature was included, causing, by the server computing device, the automobile insurance policy to be maintained without altering the cost of the automobile insurance policy based on the first rate-affecting accident; and   when a second of two rate-affecting accidents occurs during the subsequent automobile insurance policy period, causing, by the server computing device, the automobile insurance policy to be maintained without altering the cost of the automobile insurance policy based on the first rate-affecting accident, the optional feature providing that the second rate-affecting accident will not alter the cost of the automobile insurance policy based on the second rate-affecting accident occurring more than a preset time period after the first rate-affecting accident,   wherein the server computing device is configured to grant an additional deductible reduction amount to be applied to at least one deductible during a subsequent automobile insurance policy period based on a second optional feature of the automobile insurance policy which provides for granting of the additional deductible reduction amount when no rate affecting accidents are assigned to the automobile insurance policy during an experience period.