Split Commissions

Several situations might require you to bill a policy with split commissions, including the following:

• Multiple carriers are sharing the risk for a policy, with each carrier covering a specific percentage and paying agency commission at a different rate.
• Multiple endorsements (with different rates) for the same client are combined on a single bill, so that the client only has one receivable item.

This workflow only applies to commissionable items; it is not available for finance company transactions.

1. From the Home Base, click Clients & Files.
2. Select Customers from the dropdown list above the list.
3. Select the customer from the list and click the Invoices button.
4. Click the Add button just below the button bar.
5. Click Add a Transaction from the list.
6. Select the appropriate type of transaction (General Transactions, Installment Plan, or Custom Installment Plan).
7. Select the policy to invoice.
8. Click OK.
9. The Enter Transaction screen displays. This will vary depending on the type of invoice and the billing mode. If you are invoicing a direct bill policy, you will not have an option to print the invoice. You will also not have a due date option unless it is a + or – endorsement.
10. Double click in the Tran field to display the Transaction Type window. This displays the list of possible transactions based on the billing screen information.
11. Select the type of transaction, e.g., +EN, -EN, NEW, REN, NIS, RIS, AUD, etc.
12. Tab to the Description box. This can be highlighted by pressing the [Enter] key, which allows you to remove the pre-filled description and replace it with what you need printed on the invoice.
13. Tab to the Amount box and enter the amount of the premium for this invoice.
14. Click Options > Splits.
    
    Note: If saved splits exist for this customer or this billing company/policy type combination, you are asked if you would like to use the defaults. If you select Yes, the Split Commissions screen still displays so that you can view/modify information.
15. The Split Commissions screen displays a table with the following columns:
    • ICO: Issuing company
    • BCO: Billing company
    • %
    • Co Comm: Agency commission
    • Pr1, Pr2, and Pr3: Producers 1, 2, and 3
    • Exp %: Exposure percentage
    • Premium: Policy premium (per split)
16. Double click in the Exp % column and change the percentage to something other than 100. Double click in the Premium field to revise the premium amount accordingly. This enables you to enter additional splits.
17. To add a split, do the following:
    1. Double click in the ICO field to display a list of issuing companies.
    2. Tab to the BCO column. The billing company defaults but can be changed if necessary.
    3. The Pr1, Pr2, and Pr3 columns default from the policy being billed. To change the producer information, see step 18.
    4. Enter the Exp % based on the participation percentage for this carrier.
    5. Enter the Premium for this split.
18. To change commission information for a row, click Options > Modify Commissions. Make any necessary changes on the Update Commission Information screen. You are able to change the issuing/billing companies and the producer(s) as well as the agency and producer commission type and percentage. The producer commission information entered here will default for any subsequent splits added.
19. Repeat the previous step until all the commissions have been entered and the premium totals the amount invoiced. If you need to delete a row, click Options, Delete Row.
20. Check Generate MEM to create a memo bill to send to the customer. The memo bill will display the total transaction amount rather than the commission splits.
21. Check Save System Split if you would like the system to save the commission splits so that they are available for use in the future (and can be used for any customer). In order for a system split to be saved, the billing company for each row must be the same. When you access the Splits option while entering a transaction for this billing company and policy type, the system will ask you if you would like to use the saved defaults.
22. Check Save Customer Split if you would like the system to remember the commission splits for the next invoice processed on this customer. When you access the Splits option while entering a transaction for this customer, the system will ask if you would like to use the saved defaults.
23. Click OK to apply the split.