Insurance product, rating system and method
View Patent ↗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 a system and method for establishing a rating system to determine the impact on an insured's credit risk.
1. A computer implemented method for establishing a credit rating system for an insured embodied in computer executable instructions stored in a non-transitory computer readable medium, that when executed, cause a computer having a memory and a processor specifically programmed by the computer executable instruction to perform the method for establishing a rating system, the method comprising:
receiving engineering data on performance of a facility;
receiving industry benchmark data for the facility;
comparing the engineering data with industry benchmark data;
creating an implementation plan and schedule for the facility based on the comparison;
receiving risk distribution data corresponding to insuring projected savings from implementing the improvement plan and schedule;
receiving a confidence level;
computing the risk acceptance value based on the confidence level and the risk distribution data;
calculating a reduced credit risk for the insured based on the insured's insuring the projected savings from implementing of the implementation plan and schedule for the facility.
2. The method of claim 1 , wherein the facility is a power generation plant.
3. The method of claim 1 , wherein the facility is a chemical plant.
4. The method of claim 1 , wherein the facility is a refining plant.
5. The method of claim 1 , wherein the facility is a manufacturing plant.
6. The method of claim 1 , wherein the engineering data is a yield improvement.
7. The method of claim 1 , wherein the implementation plan and schedule involves process evaluation and train operators.
8. The method of claim 1 , wherein the reduction in credit rating improves a securitization rating.
9. The method of claim 1 , wherein one of the steps is performed with a computer system.