Cancelling Policies

Policies may be cancelled manually at the client's request, or automatically if the policy is too far in arrears.

Cancelling a Policy Manually

To manually cancel a policy:

1. Navigate to the specific policy to cancel and click on the Actions menu.
2. Enter an effective date - this can be a date in the past, today, or a future date. Next to the selected date an estimated projected balance on the effective date is displayed. This projection assumes that any payments which are scheduled between the current date and the cancellation effective date go ahead as expected.
   1. Selecting either today or a date in the past will stop all upcoming payments, regardless of whether the policy is up-to-date on payments or not.

1. 1. Selecting a date in the future that has upcoming payments between now and cancellation will pro-rata the final payment to allow the policy to balance on cancellation. 
2. Enter a cancellation reason and note. The note is for internal use only and won't be sent to the client.
3. Review all details are correct and click Confirm. The client will be sent confirmation of the cancellation via their preferred contact method - more details about communication can be found in the Policy Communications and Client Contact Information articles.
4. The policy displays a cancellation banner to show that the cancellation is either effective or scheduled. 
5. On the cancellation effective date, the final payment will be processed and the policy will be closed.
6. If the policy cancelled balanced out at exactly $0 then it will automatically be given the Completed status, but if it cancelled with an under- or over-paid balance then there is the option to either mark the cancellation as complete regardless or add an external transaction to balance the account. 

Cancellation Due to Arrears

The platform can be configured to automatically cancel policies if they get too far into arrears. Your organization will specify how many days past due policies can go before this cancellation is triggered.

Every notification the client receives for a missed payment clearly indicates that they are at risk of having their policy cancelled if they don't pay the overdue amount and bring their premium payments up-to-date. If they continue to miss payments and the cancellation is triggered, then they will receive one final communication that their policy has been cancelled and they no longer have cover. This is sent to all customers who have their policy cancelled due to arrears, regardless of whether their preferred contact method is email or post.

If a client has had their policy cancelled but would like it to be reinstated, there is functionality available to do so. You can find more information on policy reinstatement in this article.

Cancellation Worklist

To make it easy to keep track of all cancellations, both completed and scheduled, Simfuni lists all cancellations on the Cancellations page. This list shows the cancellation reason, client, effective date, cancellation status, and closing balance for each cancelled policy.

Cancellation statuses displayed in the worklist:

• If the policy balance is exactly zero, the cancellation status will automatically be Completed.
• If the policy balance is overpaid, the cancellation will remain in the Overpaid status until it is manually marked as Completed.
• If the policy balance is underpaid, the cancellation will remain in the Underpaid status until it is manually marked as Completed.

Marking the cancellation as Completed will change the status shown on the Cancellations page. You can mark a cancellation as Completed even if there is an over- or under-paid balance.

Adding an external transaction will balance the account in the Simfuni platform, but does not actually bill or refund the client. This can be a useful tool to reflect any manual adjustments which are made outside the Simfuni platform, for example during a claim settlement. Accurately logging transactions against each account will ensure the integrity of reconciliation and reporting. For more information about external transactions, see here.