Term Policy Life Cycle
Best practice for creating a Term policy in OIPA is to follow the stages depicted in the diagram below. Each stage should be completed in the suggested order to facilitate a smooth transition between each specific task.
- Add Clients: Any individual or company that is associated with a policy must be added in OIPA as a client.
- Create the Policy: The policy is the insurance contract agreed upon by the insurer and the insured. The policy specifics are defined on the Policy screen when a policy is first created.
- Assign Roles: Roles are assigned to clients that have already been created in OIPA during step 1. They define the relationship between the client and the insurance policy. Clients must be created before roles can be assigned.
- Add Segments: Coverages, extensions and riders can be added to a policy in the form of segments.
- Create Suspense Record: Money is tracked in OIPA through suspense records. All activities that move money in and out of OIPA must be associated with a suspense record. When creating a suspense record, a client and policy must be tied to the record.
- Process Activities: Activities are business events that are processed on a policy, client or plan. Once the initial activity is processed on a policy, the policy advances to active status.