Flat Fee Pricing

The Administrative Services Only (ASO) provider would like to charge one-time or recurring flat fee to the self-funded employer. Oracle Revenue Management and Billing enables you to process and bill such one-time and recurring charges to the bill group. The system enables you to define one-time or recurring flat fee for a price item. You can define recurring flat fee based on bill period or frequency. The one-time flat fee, bill period based recurring flat fee, and frequency based recurring flat fee can be defined using the respective flat fee pricing rules. You can only define one-time flat fee, bill period based recurring flat fee, and frequency based recurring flat fee pricing rules for a bill group.

You can define the flat fee pricing rules for bill groups from the Customer 360° Information screen. You can define a one-time flat fee, bill period based recurring flat fee, and frequency based recurring flat fee pricing rule using the respective flat fee pricing rule type. It is the flat fee pricing rule type which helps the system to determine:

• Business object using which the flat fee pricing rule should be created in the system.

  Note: You must not select the Primary option while defining a one-time flat fee, bill period based recurring flat fee, and frequency based recurring flat fee pricing rule type.

• Price items for which you can define the flat fee pricing rules.

• Rate options that you can use while defining the pricing for the price item.

• Different type of account to which a price item should be billed based on the specified priority.

• Rule type which indicates the rules that should be executed to determine whether the price item is eligible for billing.

• Additional flat fee specific data, such as:

  • Bill segment cancel reason which you want to use when the one-time or recurring flat fee bill segment is canceled due to change in the flat fee amount.

  • Whether the pricing rule type is defined for one-time flat fee or recurring flat fee.

  • Recurring method which indicates that the system should create recurring flat fee charge based on bill period or frequency. This information is required when you are defining a recurring flat fee pricing rule type.

  • Bill period that you can use while defining a bill period based recurring flat fee pricing rule. This information is required when you are defining a bill period based recurring flat fee pricing rule type.

Once a one-time flat fee pricing rule type is defined, you can define one-time flat fee pricing rules using the one-time flat fee pricing rule type. While defining a one-time flat fee pricing rule for a bill group, you need to specify the following:

• The policy status in which the one-time flat fee pricing rule is applicable. Note that you cannot define a one-time flat fee pricing rule for the post runout period of the policy.

• Price item for which you want to create the one-time flat fee billable charge.

• Date which you want to specify as the start and end dates in the one-time flat fee billable charge.

• Billable charge line type using which you want to create the one-time flat fee billable charge.

• Bill after date which you want to stamp on the one-time flat fee billable charge.

• Flat fee amount for which you want to create the one-time flat fee billable charge.

• Override account when you want to create the one-time flat fee billable charge on a particular account. If you do not specify the bill to override account, the system will derive the account using the priority defined for the price item in the one-time flat fee pricing rule type.

Once a bill period based recurring flat fee pricing rule type is defined, you can define bill period based recurring flat fee pricing rules using the bill period based recurring flat fee pricing rule type. While defining a bill period based recurring flat fee pricing rule for a bill group, you need to specify the following:

• The policy status in which the bill period based recurring flat fee pricing rule is applicable. Note that you cannot define a bill period based recurring flat fee pricing rule for the post runout period of the policy.

• Price item for which you want to create the bill period based recurring flat fee billable charge.

• Dates which you want to specify as the start and end dates in the bill period based recurring flat fee billable charge.

• Billable charge line type using which you want to create the bill period based recurring flat fee billable charge.

• Bill period using which the recurring bill segments should be created in the system.

• Flat fee amount for which you want to create the bill period based recurring flat fee billable charge.

• Override account when you want to create the bill period based recurring flat fee billable charge on a particular account. If you do not specify the bill to override account, the system will derive the account using the priority defined for the price item in the bill period based recurring flat fee pricing rule type.

Once a frequency based recurring flat fee pricing rule type is defined, you can define frequency based recurring flat fee pricing rules using the frequency based recurring flat fee pricing rule type. While defining a frequency based recurring flat fee pricing rule for a bill group, you need to specify the following:

• The policy status in which the frequency based recurring flat fee pricing rule is applicable. Note that you cannot define a frequency based recurring flat fee pricing rule for the post runout period of the policy.

• Price item for which you want to create the frequency based recurring flat fee billable charge.

• Dates which you want to specify as the start and end dates in the frequency based recurring flat fee billable charge.

• Billable charge line type using which you want to create the frequency based recurring flat fee billable charge.

• Frequency using which the recurring bill segments should be created in the system.

• Flat fee amount for which you want to create the frequency based recurring flat fee billable charge.

• Override account when you want to create the frequency based recurring flat fee billable charge on a particular account. If you do not specify the bill to override account, the system will derive the account using the priority defined for the price item in the frequency based recurring flat fee pricing rule type.

Once a one-time flat fee, bill period based recurring flat fee, or frequency based recurring flat fee pricing rule is defined for a bill group, the system creates the one-time or recurring flat fee billable charge, respectively. The system does not create any price assignment, price list, or price list assignment in case of flat fee pricing.

Related Topics

Parent Topic: Self-Funded Pricing