Abstract: A system and method for preventing financial loss due to disability of participants in a retirement plan according to an insurance contract. One or more computers are programmed within a network to collate data from one or more databases according to the terms of an insurance contract. The insurance contract pays benefits into the retirement plan trust upon the disability of a plan participant. The benefits are treated as income or gain under the plan and are allocated to the participant's account. Benefits are distributable only upon attainment of the participant's normal retirement age. The administration of a retirement plan is carried out according to a computer based method and within a computer based system.

Abstract: A retirement plan financial product includes a long-term disability insurance policy or contract as a component of the assets of the trust underlying the plan. The insurance contract pays benefits into the plan upon the disability of a plan participant. The benefits are treated as income or gain under the plan and are allocated to the participant's account. Benefits are distributable only upon attainment of the participant's normal retirement age.