Understanding Credit Insurance Policies

When you purchase insurance policies to cover open liability, you can record these policies in the Credit and Collections system. With these policies recorded, you can monitor customers' insured credit limits on a transactional basis or by using reports, depending on the type of policy that you specify.

General policies cover multiple customers, and you can review the policy on an ongoing basis using reports. Single policies cover a customer or project based on an effective date that you specify. You monitor single policies on a transactional basis.

You can set up multiple policies for one insurance company. The system maintains policies in the Credit Insurance table (F03B29) in the currency in which they are purchased. The percentage of coverage that you purchase is determined by each company and might not fully cover the customer's liability.

Note: You cannot set up a credit insurance policy for a customer at the line-of-business level.