Debt Collection Letters Delinquency Process

There might be scenarios wherein the group or individual customers fail to pay premium for their policy plan or health plan coverage, respectively, even after sending continuous reminders through To Do notifications. In such scenarios, you may want to send them dunning or warning letters (i.e. delinquency notices). Oracle Revenue Management and Billing enables you to send one or more warning or dunning letters via customer contact to:

• Parent Customer, Bill Group, and/or Billing accounts when the delinquency process is created for a person

• All the persons (that can receive notification) associated with the account when the delinquency process is created for an account

To create a delinquency process to send warning or dunning letters, you need to design the delinquency process type (using which you want to create the delinquency process) in either of the following manner:

The C1-DLQSENDCC algorithm is shipped with the product. You can create different algorithms (for example, C1-DLQSENDCC1 and C1-DLQSENDCC2) using the C1-DLQSENDCC algorithm type when you want to send different debt collection letters at different intervals. Note that sending a To Do notification before sending debt collection letters through a delinquency process is optional. You may or may not include these To Do notification event types while designing a delinquency process type to send debt collection letters. In addition, the C1-RCLTRGDMD algorithm attached to the Monitor Completed Event system event is optional. If required, you can recalculate the trigger dates for the remaining events in the delinquency process based on document mail date. For more information about the C1-DLQSENDCC and C1-RCLTRGDMD algorithms, see Delinquency Event Type.

Once a delinquency process is created for a person or an account to send debt collection letters, the status of the delinquency process is set to the value (for example, Initiated) specified in the Delinquency Process Initiated Status attribute of the delinquency process preference. Once the first event in the delinquency process is triggered, the status of the delinquency process is changed to the value (for example, Delinquency In Progress) specified in the Delinquency Process InProgress Status attribute of the delinquency process preference. A customer contact may be created when the first or subsequent event is triggered in the delinquency process. For more information about the person to whom a customer contact is sent, refer to the C1-DLQSENDCC algorithm description in the Delinquency Event Activation section. If the member level notification needs to be sent to all the derived group or individual memberships, the system also creates a customer contact for the main subscriber of each membership. For more information about the member level notifications, see Creating Customer Contacts for Group or Individual Memberships. Once all the required customer contacts are created, the status of the delinquency event is changed to Completed. Once all the delinquency events are triggered successfully, the status of the delinquency process is changed to the value (for example, Completed) specified in the Delinquency Process Completed Status attribute of the delinquency process preference.

The system may receive a payment or an adjustment against the overdue bill for which a delinquency process is created to send debt collection letters. In such case, the system behaves in the following manner depending on the status of the delinquency process:

• If a payment or an adjustment is made when a delinquency process is in the Initiated, Delinquency In Progress, or On Hold status, the status of the delinquency process is changed to the value (for example, Canceled) specified in the Delinquency Process Canceled Status attribute of the delinquency process preference. For more information on how the delinquency process is automatically canceled, see Canceling a Delinquency Process

• If a payment or an adjustment is made when a delinquency process is in the Pending Termination status, the status of the delinquency process is changed to the value (for example, Canceled) specified in the Delinquency Process Canceled Status attribute of the delinquency process preference. For more information on how the delinquency process is automatically canceled, see Canceling a Delinquency Process. This scenario is valid only for the fully insured individual business. This scenario is addressed only when such delinquency processes are automatically canceled through the C1-DPMON batch.

• If a payment or an adjustment is made when a delinquency process is in the Completed status, no action takes place on the debt collection letters delinquency process.

However, if the payment or adjustment is canceled due to any reason, the system executes the C1-CDPPAYCAN or C1-DPADJCAN algorithm attached to the customer class or adjustment type, respectively, to resume the delinquency process. For more information on how the delinquency process is automatically resumed, see Resuming a Delinquency Process.