Orphan Policyholder Matching Using Collaborative Filtering

Solution Overview

Problem

Insurance companies face challenges in cost-effectively determining the needs of orphan policyholders and matching them with appropriate insurance products, as existing methods are time-consuming and increase costs due to agent commissions.

Innovation Solution

A system and method using collaborative filtering techniques and learning algorithms to analyze orphan policyholder profiles, internal, and external data to develop an analytical model that matches insurance products with their needs, enabling automated marketing of non-commissioned products.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Ease of operation

If agents manually contact orphan policyholders to determine needs and sell products, then personalized service and sales opportunities are improved, but time consumption and agent commission costs increase

Engineering Contradiction:

Improvepersonalized serviceVSAvoidtime consumption

Core Design Contradiction:

Ease of operationVSLoss of time

Solution Approach 1:

The patent replaces the mechanical manual contact process with an automated computer-based system. The system automatically retrieves policyholder data, analyzes needs using algorithms, and generates personalized product recommendations without requiring agent phone calls or in-person meetings, thus eliminating time consumption while maintaining personalization.

Inventive Principle:

Principle #28Mechanics substitution (Replace mechanical system)

Solution Approach 2:

The system enables self-service by automatically analyzing policyholder profiles and purchasing histories to determine needs and generate recommendations. The automated process performs what would otherwise require manual agent intervention, allowing the system to serve itself rather than requiring human resources for each interaction.

Inventive Principle:

Principle #25Self-service

2Ease of operation

If agents manually contact orphan policyholders to determine needs and sell products, then personalized service and sales opportunities are improved, but agent commission costs increase

Engineering Contradiction:

Improvepersonalized serviceVSAvoidagent commission costs

Core Design Contradiction:

Ease of operationVSLoss of energy

Solution Approach 1:

The patent replaces the mechanical manual contact process with an automated computer-based system. The system automatically retrieves policyholder data, analyzes needs using algorithms, and generates personalized product recommendations without requiring agent phone calls or in-person meetings, thus eliminating time consumption while maintaining personalization.

Inventive Principle:

Principle #28Mechanics substitution (Replace mechanical system)

Solution Approach 2:

The system enables self-service by automatically analyzing policyholder profiles and purchasing histories to determine needs and generate recommendations. The automated process performs what would otherwise require manual agent intervention, allowing the system to serve itself rather than requiring human resources for each interaction.

Inventive Principle:

Principle #25Self-service

3Productivity

If the system processes and analyzes orphan policyholder data to match products automatically, then cost efficiency and productivity are improved, but device complexity and data processing requirements increase

Engineering Contradiction:

Improvecost efficiencyVSAvoidsystem complexity

Core Design Contradiction:

ProductivityVSDevice complexity

Solution Approach 1:

The system performs multiple functions through a single integrated platform: retrieving policyholder data, analyzing purchasing histories, determining needs, matching products, and generating recommendations. This multi-functionality consolidates what would otherwise require multiple separate systems or manual processes, improving cost efficiency while managing complexity through integration.

Inventive Principle:

Principle #6Universality (Multi-functionality)

Data Source

PatentUS10769728B1Analytical methods and tools for determining needs of orphan policyholders

Publication Date: 2020.09.08 MASSACHUSETTS MUTUAL LIFE INSURANCE CO

AI summary

A method for matching insurance products to orphan policyholders may enable an insurance company to automatically identify sales value and propensity to sales of a list of orphan policyholders, among other characteristics, by using collaborative filtering techniques and learning algorithms. The method may further enable for automated marketing and sales and may reduce internal costs which may be further transferred to customers as a discount and provide a competitive edge within the insurance industry.