Claim Cost Type

This page is accessed via Financials > Power Data > General > Claim Cost Type.

Claim Cost Type describes the type of costs that are incurred when a claim is recorded. A claim cost can be entered on the Claim Line Item or General Claim Information pages. If a claim cost is set up on the Claim Line Item page, the cost will only affect that individual Claim Line Item. If the cost is set up on the Claim's General Information page, that cost will affect the entire claim.

A Cost Type can be set up as either being a debit or credit for a claim. Select the Cost Activity of ADD to either increase (debit) the Size of Loss amount. Select the SUBTRACT Cost Activity when creating a Cost Type that decreases (credits) Size of Loss amount.

Oracle Transportation Management is shipped with two public Cost Types. They are:

• Damage: Is set up as the only Cost Type that will impact the claims total Damage Value field. If Oracle Transportation Management is asked to calculate damages of an item, this damage amount will appear in the individual item's cost grid. Damage is configured as an ADD cost activity.

• Note: Besides the Damage Cost Activity type, all other ADD Cost Activity types affect only the Size of Loss amount of a claim.

• Salvage: Is a Cost Type that will impact the Size of Loss amount only as a SUBTRACT Cost Activity. All SUBTRACT cost activities will affect the Size of Loss calculation only.

For example, if we had a claim case that had damages totaling 10 dollars and salvageable product worth 3 dollars then the Damage Value would be 10 dollars and the Size of Loss would be calculated at 7 dollars.

However, if another ADD Cost Activity were to be created on the General Information page (called Transportation) with a value of 10 dollars then the new Size of Loss would be 17 dollars and the Damage Value amount would still be 10 dollars.