Billing Flashcards
Billing days are based on a day cycle of
30
Insurance-paid policies are sent bills how many days before the due date?
20
Policies on direct mail have a due date of?
The policy effective date
Policies on easy pay or recurring credit card-when is due date?
Client can choose
If a policy has an effective date of the 31st and the month does not have 31 days, when is payment due?
last day of month
In February, when will the bill be issued?
8 days before the due date*
Bills are issued how many days prior to the due date?
20-14 days
If the previous month’s payment has not been received by the issue date of the next bill, what will happen?
That bill will be a cancellation notice
If the last payment was not made, what happens?
The last month’s and current month’s premium is now due plus applicable installment fees-installment fee x 2
If the policy premium owed has still not been brought current by the due date, what happens?
policy will be cancelled or terminated at 12:01
AM
Need to receive payment by when to prevent cancellation?
Need to receive their payment by the close of business the day before the due date (can pay online or over the phone by midnight)
When is there an exception to the auto policy cycle timeline?
When a new business policy is not processed before the first month’s billing opportunity-if this occurs, no bill will be mailed in the first month
If policy is not processed before the first month’s billing opportunity?
The customer would be billed at the second billing opportunity for two months of premium to bring the policy current
Installment fees, when are they charged?
On partial payments
How many installment fees per billing period?
One
