Billing system and policy transactions that create a new policy period

PolicyCenter creates a new policy period for submission, rewrite, and renewal policy transactions (jobs). When you create a new policy period, PolicyCenter sends a message to the billing system to create an equivalent policy period.

For submission, rewrite, and renewal policy transactions, you enter billing information on the Payment screen. Some fields on policies and policy periods are only for use by the billing system. These fields include the payment method (direct bill, agency bill, or list bill). You set initial values for these fields in PolicyCenter so that you usually do not have additional setup in the billing system. After sending the policy or policy period to the billing system, you edit these fields in the billing system.

The following series of actions and messaging occur between the applications when you quote a policy for the following jobs: submission, renewal, and rewrite.

PolicyCenter action	Messaging	Billing system action
User quotes. User advances to Payment screen.
	PolicyCenter sends message to get billing options, installment plans, and invoicing plans.
		Check to see if the producer code of record allows agency bill for this producer. Look up installment and invoicing plans.
	Billing system returns billing options, available installment plans, and invoicing plans.
User selects billing method. User selects installment plan. (Optional) User clicks to preview payments that billing system returned.
	PolicyCenter sends message with the selected payment plan.
		Calculate payment schedule.
	Billing system returns payment schedule which can be viewed in PolicyCenter.
User selects invoicing plan. (Optional) User enters one or more up-front payments. User binds policy.
	If the billing system does not know about the account, PolicyCenter sends account information. If the user adds an invoicing plan, PolicyCenter sends new invoicing information.
		If account is unknown, create account. If new invoicing plan, add to invoicing plans.
	PolicyCenter sends message to create a new policy and/or policy period in billing system. In that same message, PolicyCenter sends billing charges related to that policy transaction.
		Create policy or policy period on the account. Set `PolicyPeriod.BoundDate` to the policy’s model date (the date when the policy was bound) as reported by PolicyCenter. Set `PolicyPeriod.TermConfirmed` to `false`. The policy term/period is bound, but not confirmed until payment is received and any other conditions for official binding are met. Process and apply the new charges. Process payment when received. Call the `IPolicyPeriod` method `hasReceivedSufficientPaymentToConfirmPolicyPeriod` to determine whether payment is sufficient. Payment may be sufficient if it is equal to or greater than the amount due on the renewal’s first invoice. The call returns `true` if the payment is sufficient.
	If `PolicyPeriod.ConfirmationNotificationState == NotifyUponSufficientPayment`, BillingCenter notifies PolicyCenter that sufficient payment has been received by calling the PolicyCenter PolicyRenewalAPI.confirmTerm method.
Set `Policy.PolicyTerm` flag to `true`.
	PolicyCenter sends BillingCenter a message that the policy term/period is officially confirmed.
		Record the confirmation by setting `PolicyPeriod.TermConfirmed` to `true`.