Automatic Transaction Based on Respond By Date

Note: Users must have the "Access Forms" (Policy Processing group) in order to use this function.

Clients can create a trigger to cancel a policy in the future based on a respond by date. On "Pending" and "Issued" policies, the system has the ability to generate an underwriting memo requesting information by a specified response date. Once the form is entered and saved, a Diary item is created for the underwriting memo. If the Diary item is NOT by the "Response Date," a Cancellation is triggered in the End of Day Process, "Process Automatic Cancellations for No Response."

Configuration Considerations

Prior to using this function, clients should determine and set up the following:

• Identify the Form Number or Numbers that trigger the Automatic Transaction Task Type.
• Identify the Transaction Reason to use for the Form (e.g., Underwriting Reasons), or:

• Select one Transaction Reason that will always be used and have it default to this type, or

• Display the Transaction Reason combo box and have the user to select a reason if more than one is available.

• Default the Respond By Date.

• Automatic Transaction Days: Set the number of days after the Response Date that the automatic cancellation will be triggered. For example, zero (0) triggers the Cancellation during the first End of Day Processing (using the "Process Automatic Cancellations for No Response" function) on / after the Respond By Date. If the Respond By Date = 04/02/2015, when EOD runs on 04/02/2015, the Cancellation is triggered. This field should contain a positive, numeric value only; default value currently set to "0."  

• Automatic Cancel Days: This is used to calculate the Cancellation Effective Date. The Respond By Date plus (+) Automatic Cancel Days equals (=) Cancellation Effective Date. (Note: This number may vary by company / state / LOB and is only used for Manual Cancellations. If Automatic Manual Cancellations are being used, the Cancellation Effective Date equals (=)The Response Date = AutoManCan Days.

Automatic Transaction Based on Response Workflow

Adding a Manual Form

On a "Pending" or "Issued" policy:

• Click Forms from the Navigation Pane.
• In the Available Forms Grid View, highlight the Manual Form.
• In the Automatic Policy Transaction Information section (bottom of screen):

• Respond By Date: Enter MM/DD/YYYY format. (Note: A validation is returned if the date is less than the current date.)

• Transaction: Select from the combo box.

• Reason: Select from the combo box.

• Remarks: Enter your free form narrative.

• Click Save. The form is added to the Forms List as well as the Print History Tab.

Note: Once a form has been added and saved, it cannot be edited. The only options are to View or Delete. If a form needs to be changed, users must delete it and create a new one. Also, the form cannot be deleted manually from the Forms Tab.

Task List

Once a manual form has been saved, a Diary Item is automatically created. This Diary item serves as notification to any user who views the policy that the memo is set, and the policy could cancel if no response is received. The Due Date of the Diary item is set to the Respond By Date set on the form.

End of Day Processing: "Process Automatic Cancellations for No Response"

This must be added to your End of Day Processing configuration to run nightly. When this process runs:

1. This process generates either a Manual Cancellation or an Automatic Manual Cancellation. This transaction is set up in your configuration and is used by default.
2. The process looks for "Active" (not deleted) tasks with a Task Type of Automatic Cancellation and a Respond By Date that is less than or equal to the current system date. The number of days plus the system date is handled when the Respond By Date is set by the user (when adding the manual form). The date is initially set using the value of the default_respond_by_date_days column for the FormVersionAutomaticTransactionConfig record (which is related to the manual form).  The transaction_delay_days column in the same table also allows a customer to “push” out the transaction a specified number of days. This can be thought of as being similar to a grace period.
3. Based on the configuration settings, this process triggers the appropriate Cancellation transaction (Manual or Automatic Manual Cancellation). The process then determines the Transaction Reason and Cancellation Effective Date based on the configuration settings for that policy’s company / state / LOB.
4. The process then submits, rates and issues the Cancellation. The appropriate notices will trigger based on the Form Trigger Specification.
5. When the Cancellation is issued, the Automatic Transaction Task Type is deleted.
6. If another transaction is already "Pending" for the policy when End of Day tries to process the Automatic Transaction, EOD will skip this policy and keep trying on subsequent days until it is able to successfully process the Automatic Transaction.
7. If the policy is cancelled for another reason (e.g., Insured Request or Non Payment) before the Respond By date is reached, the other Cancellation will delete the future event. More specifically, the system will delete the automatic transaction information when the transaction is processed but the policy is no longer in force.