Cancel a policy

Procedure

  1. Navigate to a policy and select Cancel Policy from the Actions menu.
  2. Enter the following information:
    1. For Source, select Insured or Insurer.
    2. Select a Reason from the drop down list.
      The list varies depending on the selected Source.
    3. Optionally, enters a Reason Description for canceling the policy.
    4. Select a refund method.
      Certain source and reason choices result in a default refund method.
    5. Select a different date or accept the default cancellation effective date.
      The reason also determines the default cancellation effective date. The system defaults to the earliest allowable date, based on the cancellation reason. The regulations for each jurisdiction govern the earliest allowable date. In most cases, you may add additional days.

      You can configure this in CancellationEnhancement.gsx and in the notifcationconfigs.xml system table. See Calculating the cancellation effective date.

  3. Click Start Cancellation.
  4. On the Confirmation screen, select Bind Options > Cancel Now or Schedule Cancellation.
    • If you select Cancel Now, PolicyCenter sets the cancellation process date to the current date, and soon completes the cancellation after which the cancellation cannot be rescinded. PolicyCenter begins the cancellation process immediately. PolicyCenter sends a notification to the document production system to prepare and mail the appropriate notifications.

      To undo the cancellation, you must reinstate the policy.

    • If you select Schedule Cancellation, the cancellation process date defaults to the cancellation effective date, which is set by the system. See Default cancellation effective date. If you select Schedule Cancellation, then PolicyCenter might notify the document production system to prepare and mail the appropriate notifications. PolicyCenter schedules the cancellation, but you have the option to rescind it before the cancellation effective date.

      The workflow waits until the system time is equivalent to the CancelProcessDate before the cancellation completes. For example, if you select Insured as the source with a reason Out of business, then the default date is one day after the date you started the cancellation. What happens is that the CancelProcessDate is set to the Cancellation Effective Date.

      If the policy cancellation is scheduled but has not gone past its cancellation process date, you can rescind the policy.