Harish N Raghavan

US Patent:

20090099979, Apr 16, 2009

Filed:

Oct 9, 2008

Appl. No.:

12/287437

Inventors:

Harish Raghavan - New York NY, US
Edward Netherland - Lascassas TN, US

International Classification:

G06Q 40/00

US Classification:

705 36 R, 705 4

Abstract:

The present inventions provide improved funding and administrative arrangements for increasing the amount of income available for group benefit plans, unions, VEBAs, and other entities designed to aggregate funds for the benefit of a selected population. In general, the arrangement includes an insurance component and a financing component and may be bankruptcy-remote from the group benefit plan and its sponsor. The financing component may be combined with the insurance component in order to create and capture value by obtaining comparatively inexpensive capital market funding to generate a favorable economic outcome for the plan, its participants and/or certain specified beneficiaries. The financing component may be selected such that it is capable of paying premiums associated with the insurance component and funding other aspects of the arrangement.

US Patent:

20090112633, Apr 30, 2009

Filed:

Jul 24, 2008

Appl. No.:

12/220685

Inventors:

Harish Raghavan - New York NY, US
Jamshid Ehsani - Greenwich CT, US
Robert Thompson - Harrison NY, US

International Classification:

G06Q 40/00

US Classification:

705 4

Abstract:

A system for structuring credit support in connection with life insurance premium finance loans and securitizing longevity risk includes a trust having a life insurance policy and a premium finance loan from a lender that finances the cost of the premiums of the life insurance policy. The life insurance policy is used as collateral for the premium finance loan. The trust provides to the lender additional collateral in the form of a letter of credit or other forms of collateral to cover any shortfall between the balance and the policy cash surrender value. A longevity risk fund provides the credit support by entering into a collateral support agreement with the trust through a credit source. The longevity risk fund receives compensation in the form of risk adjusted return on exposure, in exchange for providing the additional collateral. The cash flows received from the credit support obligations are then securitized through the transfer of the related collateral support agreements (either by legal transfer or economic participation) to a special purpose vehicle that issues securities (either equity or debt) to the capital markets.