Reviewing Lease Cap History

Access the Lease Cap History Revisions form.

The system retrieves values from the prior year history to use when calculating caps for the current year, Therefore, if you update the following fields, the system calculates the new cap based on the new values.

Exposure Subject to Cap

Enter the amount of the adjusted exposure that is subject to cap processing.

For example, the account range for an E.P. class includes accounts 6410, 6420, 6430, and 6440. The expenses for each account equals 10,000.00 USD, resulting in a total exposure of $40,000.00 for the class. However, when the cap rule is assigned to the class, account 6420 is excluded from cap processing by defining the account as not subject to caps. The exposure subject to cap for the class becomes 30,000.00 USD.

Cap Amount

Enter calculated allowable amount that results from applying a cap rule.

Roll Forward Recovery Balance

Enter the cumulative balance of all overage amounts.

When the actual amount of a calculation generation process is greater than the calculated cap amount, the system adds the difference to this roll forward balance. When the actual amount of a calculation generation process is less than the calculated cap amount, the system subtracts the difference from this roll forward balance.