Net Commissions

Net Commission billing allows agencies to be directly billed with commissions deducted from invoices, eliminating the need for full payment collection and month-end refunds. BriteCore supports this process with streamlined billing and commission tracking.

Enabling Net Commission Billing

1. In the BriteCore menu, select Lines.
2. On the Effective Dates screen, select the appropriate effective date.
3. On the Policy Types screen, navigate to the policy type you want to enable net commission billing for, and then, to the left of the policy type title, select the pencil icon.
4. On the Policy Type Details screen, select When billed to agents/agencies, deduct commissions from Invoices (won't affect Policy Terms that are already committed) to enable the setting.
5. In the BriteCore menu, select Settings > Advanced.
6. On the Advanced Settings screen, in the Policies section, navigate to the show_agency_commission_and_premium_separately box, and then select True to display Agency Commission = Written Premium x Commission Rate on the Accounts Receivable screen.

Additional Settings

Change commission payment settings:

1. In the BriteCore menu, select Settings.
2. On the Settings screen, in the Settings menu, select Advanced.
3. Navigate to the Contacts section, and then complete one or both of the following steps:
   • In the paycommissionon box, select Written.
   • In the paycommissionto box, select either agency or  agency_group.

Restrict the Bill Whom selection to agents and agencies:

1. In the BriteCore menu, select Settings.
2. On the Settings screen, in the Settings menu, select Modules > Policies.
3. On the Policies screen, under Policy Lifecycle, select Edit.
4. On the Policy Lifecycle screen, select Lifecycle Parameters Are Defined Per Policy Type, and then select the appropriate Policy Type.
5. On the Billing tab, in the Billing Schedules section, select the pencil icon next to the billing schedule you want to edit.
6. In the Edit Billing Schedule dialog box, in the Limit Availability To section, under Bill Whom, ensure that only Agent/Agency is selected.
7. At the bottom of the dialog box, select Save and Exit.
8. On the Policy Lifecycle screen, select Save and Exit.

Commissions Impact

• Commissions are immediately added as paid within Commissions Accounting, bypassing month-end processing.
• The account history shows commissions credited from the amount due within the Accounts Receivable screen.

Transactional Impact

• New Business: BriteCore calculates the expected net amount for the first installment as Total Installment Amount - Net Commission.
• Renewals: Net Commission carries forward.
• Cancellations: The commission is subtracted from the total.
• Endorsements: Adjusted commission calculations are applied.

Considerations

• Legacy Quoting is not supported.
• Initial revision commits determine the Net Commission status with no re-evaluation on subsequent revisions or endorsements.