10. Policy Journal Maintenance

Whenever you need to make an adjustment to the annuity amount, you need to post it as a policy journal entry.

Authorization of policy journal creates a policy transaction on par with normal annuity transaction. Appropriate tax is deducted from the gross annuity amount and is posted as annuity tax transaction. On authorization of the journal entry, it will generate the annuity transaction with gross annuity amount.

The Policy Journal Maintenance screen allows you to make adjustments to the annuity amount of a policy. The next section gives you step-by-step instructions to do the same.

This chapter contains the following sections:

10.1 Journal Entries for Policy

This section contains the following topics:

10.1.1 Invoking Policy Journal Maintenance Detail Screen

The following are the steps you need to follow to make a journal entry for a policy. Each of these steps is explained in detail in subsequent sections.

You can invoke the ‘Policy Journal Maintenance Detail’ screen by typing ‘LEDPLJNL’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button.

 

Select ‘New’ from the Actions menu in the Application tool bar or click new icon to enter the details of the Policy Journal Maintenance.

You can specify the following fields in this screen:

Annuity Journal

Journal Txn Number

Display

This is a unique identification for the journal entry made for the policy. It is generated by the system when all details that are mandatory for the journal entry have been successfully entered, and the policy journal entry is saved.

This journal number identifies the first journal entry made into a policy, and all subsequent journal entries into this Policy will have system generated sequential journal transaction numbers.

Journal Type

Mandatory

Select the type of journal entry you wish to make from the drop-down list. The list displays the following values:

Policy Number

Alphanumeric; 16 Characters; Mandatory

Select the Policy on which you want maintain a journal. You can use the Find Policy Options screen. You can invoke the same by clicking on the option list. The Policy selected must be an authorized, active Policy on which the underlying initial investment and Annuity transaction has already been generated.

Journal Currency

Display

When the Policy Number is selected, the corresponding Plan (or Policy) Base Currency is displayed as the default journal currency, from the Policy details record. This currency cannot be changed.

Reference Number

Alphanumeric; 16 Characters; Mandatory

Specify a unique alphanumeric identifier for the journal entry. You will use this reference number to track this entry subsequently.

Policy SI Number

Alphanumeric; 16 Characters; Mandatory

This number is generated by the system. It represents the number of annuity/ premium payments between the Start Date and End Date specified for the annuity/ premium payment.

Journal Txn Date

Date Format; Mandatory

The Journal Transaction Date signifies the date on which the journal entry is made into the system. You can enter a backdated transaction here, but this must not be earlier than the first Rule Effective Date of the policy.

By default, the application date is displayed in this field.

Policy Holder

Display

When the Policy Number is selected, the name of the corresponding Policyholder is displayed here.

Enforce SI Rule

Optional

Select enforce SI rule status from the drop-down list. The list displays the following values:

No. of pay instances

Numeric; 22 Characters; Optional

Specify the number of pay instances.

Current fiscal year income

Optional

Select current fiscal year income status from the drop-down list. The list displays the following values:

Sub Type

Display

The system displays the sub type.

Outstanding Payment

From Date

Date Format; Optional

Specify the date that marks the beginning of the period for which the journal entry is made. This date cannot be a future date.

Note

This date cannot be lesser than or equal to the date of policy creation.

To Date

Date Format; Optional

Specify the date that marks the end of the period for which the journal entry is made. This date cannot be a future date.

Net Annuity Amount

Numeric, 15 Characters; Optional

Enter the adjusted net annuity amount here. The annuity details will be calculated by the system based on the amount you enter here on the journal transaction date and the tax ledger entries will be made for the new net annuity amount.

Note

This field is enabled only if you have selected the option ‘Adjustment for Previous Cycle’.

Remarks

Alphanumeric; 255 Characters; Optional

You can enter the important information any, in this field.

Journal Amount

Numeric, 18 Characters; Optional

Enter the outstanding amount to be paid to the customer. System will treat the value specified here as the gross annuity amount.

Note

The field will be disabled if the ‘Adjustment for Previous Cycle’ option is checked.

Adjustment for Previous Cycle

Mandatory

Select ‘Yes’ from drop-down list to indicate that the journal entry being posted is an adjustment for the previous cycle.

Annuity Adjustment for previous cycle can be allowed only if reversed annuity entry exists in that period.

WHT Amount

Numeric, 15 Characters; Optional

Specify the amount of with holding that is applicable on the annuity amount. The withholding tax details will be calculated by the system based on the amount you enter here on the journal transaction date and the tax ledger entries will be made for the new withholding tax amount.

If a Product is not mapped with ‘Withholding Tax’ then user can uncheck ‘Adjustment for Previous Cycle’ otherwise system will not allow the user to save the journal without maintaining WHT Amount. If the user maintains WHT Amount as '0' system will through an error saying "WHT Amount should be greater than 0".

Note

This field is enabled only if you have selected the option ‘Adjustment for Previous Cycle’.

Payment Details

You can select the mode of payment and select the type of payment in this section.

Payment Mode

Mandatory

Select the mode of payment as Transfer from the drop-down list. The list displays the following values:

Bank

Alphanumeric; 12 Characters; Optional

Specify the bank code. Alternatively, you can select the bank code from the option list. The list displays all valid bank code maintained in the system.

Once you select bank code, the system displays the following bank account details displayed:

Asset allocation

Fund ID

Alphanumeric; 6 Characters; Mandatory

Specify the fund ID. Alternatively, you can select fund ID from the option list. The list displays all valid fund ID maintained in the system.

Fund Name

Display

The system displays the fund name.

Units/Ratio

Numeric; 3 Characters; Mandatory

Specify the units/ ratio details.

Saving the information entered

When you have entered all the mandatory information, click ‘Ok’ button.

The following message will be displayed:

The system displays the confirmation message “Record Successfully Saved”.

This indicates the record has been saved. Click ‘Ok’ button.

10.2 Policy Journal Maintenance Summary Screen

This section contains the following topics:

10.2.1 Retrieving Policy Journal Entry in Policy Journal Maintenance Screen

You can retrieve a previously entered record in the Summary screen, as follows:

You can invoke the ‘Policy Journal Maintenance Summary’ screen by typing ‘LESPLJNL’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button.

Specify any or all of the following details in the Policy Journal Maintenance Summary screen:

After you have specified the required details, click ‘Search’ button. All records with the specified details are retrieved and displayed in the lower portion of the screen.

Note

You can also retrieve the individual record detail from the detail screen by doing query in the following manner:-

You can perform Edit, Delete, Amend, Authorize, Reverse, Confirm operation by selecting from the Action list.

You can also search the record by using combination of % and alphanumeric value.

Example

You can search the record for Journal Number by using the combination of % and alphanumeric value as follows:-

 

10.2.2 Editing Policy Journal Entry

You can modify the details of a record that you have already entered into the system, provided it has not been subsequently authorized. You can perform this operation as follows:

  1. Invoke the Policy Journal Maintenance Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for modification in the Authorization Status field. You can only modify records that are unauthorized. Accordingly, choose the Unauthorized option from the drop down list.
  3. Specify any or all of the details of the record in the corresponding fields on the screen to retrieve the record that is to be modified. Click ‘Search’ button. All unauthorized records with the specified details are retrieved and displayed in the lower portion of the screen.
  4. Double click the record that you want to modify in the list of displayed records. The Policy Journal Maintenance Detail screen is displayed.
  5. Select Unlock Operation from Action list to modify the record. Modify the necessary information.
  6. Click Save to save your changes. The Policy Journal Maintenance Detail screen is closed and the changes made are reflected in the Policy Journal Maintenance Summary screen.

10.2.3 Viewing Policy Journal Entry

To view a Policy Journal Entry you have previously entered, you must retrieve the same in the Policy Journal Maintenance Summary screen, as follows:

  1. Invoke the Summary Screen from the Browser.
  2. Select the status of the Policy Journal Maintenance that you want to retrieve for viewing in the Authorization Status field. You can also view all records that are either unauthorized or authorized only, by choosing the Unauthorized / Authorized option.
  3. Specify any or all of the details of the records in the corresponding fields on the screen, and click ‘Search’ button. All records with the specified details are retrieved and displayed in the lower portion of the screen.
  4. Double click the record that you want to view in the list of displayed records, in the lower portion of the screen. The Policy Journal Maintenance screen is opened in View mode.

10.2.4 Deleting Policy Journal Entry

You can delete only unauthorized records in the system.

To delete a record that you have previously entered, you must retrieve the same in the Policy Journal Maintenance Summary screen, as follows:

  1. Invoke the Policy Journal Maintenance Summary screen from the browser.
  2. Select the status of the record as “Unauthorized’ that you want to retrieve for deletion.
  3. Specify any or all of the details of the record in the corresponding fields on the screen, and click ‘Search’ button. All records with the specified details are retrieved and displayed in the lower portion of the screen.
  4. Double click the record that you want to delete in the list of displayed records, in the lower portion of the screen. The Policy Journal Maintenance Detail screen is opened in View mode.
  5. Select Delete operation from the Action list. The system prompts you to confirm the deletion, and the record is deleted physically from the system database.

10.2.5 Authorizing Policy Journal Entry

An unauthorized record must be authorized in the system for it to be processed.

To authorize a record, you must first retrieve the same in the Policy Journal Maintenance Summary screen.

  1. Invoke the Policy Journal Maintenance Summary screen from the Browser.
  2. Select the status of the record that you want to retrieve for authorization. Typically, choose the Unauthorized option from the drop down list.
  3. Specify any or all of the details of the record in the corresponding fields on the screen. Click ‘Search’ button. All records with the specified details that are pending authorization are retrieved and displayed in the lower portion of the screen.
  4. Double click the record that you wish to authorize. The Policy Journal Maintenance Detail screen is opened in View mode.
  5. Select Authorize operation from Action list.

When the checker authorizes a record, details of validations, if any, that were overridden by the maker of the record during the Save operation, are displayed. If any of these overrides results in an error, the checker must reject the record.

10.2.6 Amending Policy Journal Entry

After a record is authorized, it can be modified using the Unlock operation from Action list. To make changes to a record after authorization, you must invoke the Unlock operation which is termed as Amend Operation.

  1. Invoke the Policy Journal Maintenance Summary screen from the Browser.
  2. Select the status of the record that you wish to retrieve for amendment. You can only amend records that are authorized.
  3. Specify any or all of the details of the record in the corresponding fields on the screen. Click ‘Search’ button. All records with the specified details are retrieved and displayed in the lower portion of the screen.
  4. Double click the record that you want to amend. The Policy Journal Maintenance screen will be displayed in Amendment mode. Click the Unlock operation from the Action list to amend the record.
  5. Amend the necessary information. Click the Save button to save your changes.

10.2.7 Authorizing Amended Policy Journal Entry

An amended Policy Journal Entry must be authorized for the amendment to be made effective in the system.

Authorization of amended records can be done from Fund Manager Module and Agency branch Module. The process of authorization is subsequently the same as that for normal transactions.