Reversing and revising final audits

Reverse a final audit

The goal of a reversal is to undo the original audit so that a new audit can incorporate changes made by another policy transaction. In addition, PolicyCenter notifies the billing system that the first audit is reversed and will likely be replaced by an entirely new audit. Reversal occurs as a result of another policy transaction becoming effective within the final audit period after the final audit has been completed. In the base configuration, reversal occurs when PolicyCenter processes a cancellation, policy change, or reinstatement on a policy that has a completed final audit. There is no explicit user action. When an audit is reversed, PolicyCenter calls the billing system to reverse charges related to the final audit and sets the reversal date to the current date. In addition to reversing the final audit, PolicyCenter schedules a new audit that replaces the reversed one. After the audit task initiates the new scheduled audit, users can begin processing the new audit.

Revise a final audit

You can use an audit revision to change a completed audit. The existing completed audit is the basis for the revision. The revision allows a user to amend the audit details and recalculate the premiums. PolicyCenter forwards the revised audit value or the change in premium to the billing system. This audit becomes the most current representation of the policy premiums.

Click Revise in the user interface to begin revising an audit. This action creates a new audit with an audit type of Final Audit (revised).

When might you revise an audit? A premium auditor completes a final audit with an audited payroll. At some later date, the premium auditor realizes that someone entered the amount incorrectly. The premium auditor revises the original final audit and enters the correct amount.

Final audits do not alter the policy contract

PolicyCenter policy transactions, such as submissions, policy changes, or rewrites, are bound when completed. Unlike those policy transactions, a final audit policy transaction is locked when completed. The final audit policy transaction does not change the policy contract.