Abstract: A system and method for providing insurance protection against loss of contributions to tax favored defined contribution plans should an active employee/participant become disabled. The invention manages the administration of a disability insurance policy held inside the plan that continues contributions to the plan during a period of disability, where the coverage amount for each participant is determined by the level of contributions made by or for each participant.

Abstract: A computer-aided method of computing coverage benefit costs for a retirement plan having respective accounts for individuals, the method including the steps of converting input plan contribution data for at least one of said accounts of said retirement plan into corresponding input digital electrical signals, manipulating the input digital electrical signals in computing the coverage benefit costs for the at least one of said accounts according to said retirement plan, and producing output at an output device. The output including the computed coverage benefit costs for the at least one of said accounts of said retirement plan. The method is suitable for IRS Sec. 401, 408, 457, in cases such as an IRA, ROTH IRA, individual social security accounts of whatever country may be at issue, and the like. Input plan contribution data can include data such as FICA tax, Federal Old Age, Survivors, and Disability Insurance tax data.