Reinstatement Policy Transactions

Reinstatements go hand in hand with cancellations and are a type of policy change that returns a
canceled policy to in force status. The policy becomes in force again as of the reinstatement date. The
reinstatement removes the cancellation from the policy period. Hence, the policy expiration date
remains the same.

This transaction can only be performed after the cancellation of policy. The policy effective date for
reinstatement will be = cancellation date and will be disabled. This transaction is done so as to
continue the insurance cover for the insured if the policy has been cancelled or expired.

In a reinstatement policy transaction, you cannot reinstate with a lapse in coverage or change the policy
expiration date. To reinstate with a lapse in coverage, you must do a rewrite policy transaction.
A reinstatement policy transaction can be started either manually in the PolicyCenter Policy File or
programmatically.

From the policyholder's perspective, a reinstated policy is no different than the original policy. However,
PolicyCenter tracks the reinstatement as a policy transaction.

Reinstatement General Steps

The following diagram shows the basic steps in a reinstatement. These steps are for the default
configuration of PolicyCenter. You business requirements and even lines of business can alter the
process. Steps may also differ slightly between personal and commercial lines and in how you access the
reinstatement screens.
Reinstating a Policy
This topic explains, from a user’s point of view, how to reinstate a policy.
Note: The following describes a default reinstatement policy transaction. Your configuration and line of
business will affect the look and flow.

Reinstatements must start from a canceled policy.

1. Find a canceled policy and select Reinstate Policy.
The Reinstatement wizard displays the Start Reinstatement screen with the Effective Date of
Reinstatement set to the Cancellation Effective Date.
2. Enter a Reason, an optional Reason Description, and select Quote.
The Reinstatement wizard begins, and the Quote screen appears.
3. From the Quote screen, you can either edit, reinstate, withdraw the policy, or print a quote.
a. Selecting Edit allows you to only edit the Reason Description field. You must select Quote to return it
to the status of quoted. However, the quote does not change.
b. Selecting Reinstate reinstates the policy and you are able to either return to the policy file or your
desktop.
c. Selecting Withdraw Transaction stops the process and the policy remains in the status of canceled.
However, you can decide at a later date to reinstate the policy.
d. Selecting Print Quote prints the quote for review.
Reinstatement provides the following key features:
• You can reinstate a canceled policy.
• You cannot reinstate a canceled policy with a new expiration date.
• The reinstated policy cannot have a lapse in coverage.