| 摘要 |
A method and means produce a value of a premium for an insurance product which make a homeowner's mortgage payment in the event of default. A computer program uses financial data that has been entered into an insurer's database to generate a value for the premium for the insurance product. Financial data includes a predetermined set of parameters such as the homeowner's monthly mortgage payment, asset valuation, the terms and conditions of the associated mortgage loan, and borrower creditworthiness. Financial data further includes the costs of hedging and the accompanying reduction in risk. Hedging vehicles, e.g., futures or derivatives of futures, may be based on values of homes in the market including the location of the insured homeowner.
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