System and method for dynamic pricing of an insurance policy

Abstract

A storage device stores a profile of a seller of an electronic marketplace. An insurance pricing generator module computes a shipping insurance rate for the seller based on the profile of the seller. The shipping insurance rate for the seller is computed based on the insurance coverage selected by the seller. The profile of the seller has an electronic marketplace profile of the seller and an insurance profile of the seller. A record of the shipping insurance elected by a seller eligible to purchase the shipping insurance at the shipping insurance rate for an item to be shipped to a buyer is maintained. A claim and complaint module receives a complaint from the buyer and a claim from the seller. A claim processing module processes the claim from the seller based on the corresponding complaint from the buyer.

Description

CROSS-REFERENCE TO RELATED APPLICATION[0001]This application claims priority from U.S. Provisional Patent Application Ser. No. 61 / 412,256, filed Nov. 10, 2010, which is incorporated herein by reference in its entirety.TECHNICAL FIELD[0002]This application relates generally to the field of computer technology, and in a specific example embodiment, a method and system for pricing an insurance policy.BACKGROUND[0003]Websites provide a number of publishing, listing, and price-setting mechanisms whereby a publisher (e.g., a seller) may list or publish information concerning items for sale. The process of creating a listing may be a time-consuming and tedious process. The seller may not have a good idea of what the selling price should be, how much to charge for shipping, or what should go in a description for their item.[0004]Currently, the provision of shipping insurance for items transacted (e.g., by an ecommerce retailer or marketplace) presents a number of challenges. Particularly, i...

AI Technical Summary

Benefits of technology

The present invention relates to a method and system for pricing and offering insurance policies for shipping items through electronic marketplaces. The technical effects of the invention include reducing the time and effort required to create listings for items, simplifying the process of determining the appropriate insurance policy for a seller, and providing dynamic pricing based on the seller's profile and the insurance coverage selected by the seller. The invention also includes a network system for exchanging data and processing claims from buyers and sellers.

Problems solved by technology

The process of creating a listing may be a time-consuming and tedious process.

The seller may not have a good idea of what the selling price should be, how much to charge for shipping, or what should go in a description for their item.

Currently, the provision of shipping insurance for items transacted (e.g., by an ecommerce retailer or marketplace) presents a number of challenges.

Particularly, in the event that a shipped item is received by a buyer in a damaged condition, or this shipment is lost, it may be difficult for the seller to recover the expense of the damage or a lost item.

This presents a number of challenges to sellers.

However, the claim process for the insurance provided by these services is complicated and challenging.

For example, sellers with poor selling records and / or negative feedbacks from buyers may not be eligible to participate in the shipping insurance program.

For example, the seller may receive a communication from the buyer that the goods received were damaged during shipping.

Because both buyer's complaint and seller's claim are inconsistent and do not validate each other, the seller's claim is not validated and is likely to be denied.

For example, a fraudulent activity may be determined when the claim from the seller is not validated by the buyer (e.g. the buyer claims that the item was received, the seller claims that the item was received in a damaged condition).

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