Delay cancellation per policy

Feature Summary

With the Delay cancellation per policy feature, carriers can provide insureds additional time to pay an outstanding balance without extending the length of coverage. Previously, the cancellation date could be delayed by changing the invoice due date which extended the length of coverage. 

When a Delay Cancellation Date is set, the policy will cancel on the Delay Cancellation Date, but the system will recognize the existing cancel date, which is based on the invoice due date, as the effective date of cancellation.

Example: A policy has an original invoice due date of 5/30/21, an invoice cancellation date of 6/14/21, and the Delay Cancellation Date is set for 6/20/21. If payment isn’t made by 6/20/21, the policy will cancel; however, the effective date of the cancellation will be 6/14/21.

The Delay Cancellation Date option will appear in the Edit Billing Dates dialog box. Users can access the Edit Billing Dates dialog box when a balance is due on a policy and a user selects the Edit Billing Dates button in the Balance Details section of the Accounts Receivable screen.   

This feature impacts users who have access to the Edit Billing Dates button on the Accounts Receivable screen. This is a core functionality update, so configuration isn’t needed. 

Changes

  • The Delay Cancellation Date option now appears in the Edit Billing Dates dialog box.
  • When a balance is due, users can now delay the cancellation date using the Delay Cancellation Date option.
  • Users can delay the cancellation date for a policy term without changing the invoice due date or the effective date of cancellation.
  • When the Delay Cancellation Date is set, the policy will cancel on the Delay Cancellation Date, but the system will recognize the existing cancellation date as the effective date of cancellation.

Considerations

  • When you set the Delay Cancellation Date, the date must be greater than today’s date and greater than the original invoice cancellation date.
  • If the policy lifecycle setting Cancel policy back to invoice due date upon cancellation is enabled, then the policy will use the invoice due date as the cancellation effective date.
  • Setting the Delay Cancellation Date won’t change the invoice due date or the cancellation effective date.
  • If a cancellation is delayed beyond a second invoice or a second non-pay notice, then the policy will cancel back to the first unpaid amount and won’t honor the most recent notice dates sent to the insured.
    • The second invoice due date can be edited to avoid a second non-pay notice issuance during a delay in the first non-pay cancellation.

Questions

If you have further questions about this feature, please contact your BriteCore support team.