Select a section to review based on the topic: Cancellations, cancel notices, and payments on cancelled policies Credit Card questions Contacts who to call Conversion of existing policies to new Personal Lines billing system Downpayment or premium payments Late fees/waivers Linking a new billing account to and existing billing account Mortgagee or Third Party billed policy/payment questions Moving money between accounts Recurring Electronic Funds Transfer (REFT), Recurring Bank Card, and FlexChek questions Refund questions Reinstatement questions Pay plan and payment option questions System functionality questions Cancellations/Cancel Notices/Payments on Cancelled policies Question: If the policy has a mailing address separate from the insured location, will the Cancellation/Late notice be sent to the policy mailing address or the location address? Answer: The Warning notice or Notice of Cancellation (NOC) will be sent to the policy mailing address. Question: Will the Agency be notified of cancellation before a final cancellation is received? Answer: Yes, the agent will be notified that a policy has gone into Warning status via the Billing Notifications section of Agent Center. They will also see the pending cancellation in the Orange Warning Box when they view the account. Question: So cancellations will now happen at a policy level. What happens if it s a multi-policy account? How would you only cancel one policy for non payment? Answer: Payments for policies in a Warned status can be made at a policy level. However, if an account level payment is made, then the system would reconcile the payment based on hierarchy rules: Auto first, Home second, etc Question: Can you make a payment in Agent Center once the policy has cancelled? Answer: If the policy is eligible to mechanically reinstate, just click on the reinstatement amount due and process the payment no need to contact the Service Center! Credit Card Questions Question: Does Powersports have a credit card option? Answer: Yes, Powersports and every other line of business have the ability to be on Recurring Bank Card, but the member must sign up through alliedinsurance.com and select the monthly pay plan. Question: Does the member address pre-fill with the CC pay? Answer: No, we no longer ask for the address anymore. Question: If a member s credit card has expired and payment is denied, how will the insured know that there is an issue with their payment? Answer: The member receives a letter 30 days prior to the expiration date of their card letting them know that they need to update their information. If they don t make the update, and the payment is denied, they will receive a Notice of Cancellation. Page 1 of 7
Question: Why does it take so long to see that a credit card payment has been processed? Answer: Processing a credit card payment take up to 2 days to apply since the payments are now going through a batch process. Contacts Question: Who can I contact if I have a Billing Conversion question? Answer: For billing system functionality concerns, contact the IT Service Desk at 1-888-667-3866. For billing concerns (not service related), send an email to flextoba@nationwide.com Conversion of Existing Policies Question: How does the Conversion process work? Answer: A policy can go through conversion at anytime during the term it doesn t have to be at renewal. The conversion of existing policies happens every weekend, and we expect to be more than 90% complete in all states by year end! When conversion begins in a state, most policies transition within 60-90 days; however, not all move at the same time. There are several reasons some policies take longer to transition to the new system such as an invoice must be closed for more than 4 days and there can be no pending billing- or policy-related transactions. Our goal is to convert all policies as quickly as possible with minimal disruption to you and your customers. Customers receive a letter with their first new billing statement notifying them of the change and their new 10-digit billing account number. Question: How will we know when the insureds account has been changed over to the new system? Answer: In addition to the change in billing account number (moving from 9 digits to 10), you ll notice that the billing screens in Agent Center look somewhat different. If the policy has converted to Billing Advantage, you will now see the breakdown functionality, the filters, and that the Account Summary, Account History and Billing Statement will be combined into the Account History screen. Question: I recently submitted an Umbrella, Home and Auto policy for the client. The account number for the umbrella was 9 digits - I couldn t link it to the auto and home account. When will the umbrella policy be eligible to move to a Billing Advantage account? Answer: PUL policies are handled a little differently: All PUL policies need to be reviewed and approved by Underwriting; if approved, the policy will be released and be set up on an account via the batch process (not in real time ). If a PUL policy is quoted prior to the date your state began Conversion, the system will use that date to determine that the policy will be billed through the old billing system (FLEX). Once the PUL policy mechanically converts to Billing Advantage (approximately 30 days later if the payment is made by the due date), it will be assigned to its own account but you can then move it to the existing Billing Advantage account with the Auto and Home policies. If the PUL policy was quoted after your state began converting, it will be set up on its own account on the new billing system. Adding PUL policies to an Existing account: If the PUL policy was quoted prior to the conversion date for the policy/account state, the policy will be set up on its own account on the old Flex billing system if an existing account has already converted to the new Billing system. If the policyholder currently has an account on the old Flex system and the PUL has been requested to be added to that account, the old Flex billing system will be able to accommodate that request. If the PUL policy was quoted after the conversion date for the policy/account state, the policy will be set up on its own account on the new PL Billing System. The policy can't be added to an existing account; it can be moved to an existing account by using the "Move Policy" function under the Billing Menu in Agent Center. This is a known painpoint and research is being done to determine a possible resolution. Page 2 of 7
NOTE: If the policy loses a factor month due to the delay in setting up the billing account, you can have the member make an additional payment. Once the payment is applied, the monthly amount due will match the original quote given to the member. Downpayment/Premium Payment Questions Question: When and how do you waive/bypass a down payment? Answer: Yes, you can bypass a down payment for existing customers in the following scenarios: The account is submitted over 60 days in advance of the effective date. MPD (Multi-Policy Discount) indicator is set to Yes on the application. Adding a policy to an existing account. If any of one of the above criteria is met, you are able to waive the down payment. Payments will then be due on the next due date or withdrawn from the customers account on the due date of the existing account. Once the Policy submittal process is completed, you will be presented with the down payment options; to waive the down payment, please select the 'Other Amount' and input 0 in the amount field. You will then need to simulate a down payment by selecting your Agency Sweep Account from the payment options. This will NOT withdraw monies from your account but it is required to begin the automatic account set up. Remember - If any of the above criteria is not met, you will need to submit a down payment. Question: Does the insured need to pay the premium in full? Or can I set them up for monthly pay by mail? Answer: No the insured does not have to pay the premium in full at the time of New Business; they can make their down payment and be set up on monthly direct bill pay. Question: I don t use EZ Sweep in my Agency can I still mail a Down Payment for New Business? Answer: Best practice is to use the EZ Sweep option if you receive a check at Down Payment. But if you don t use this tool, you can use the routing/bank account information off of the check to process a One-Time EFT transaction. Question: Does Mortgagee (3 rd Party Billing) require a Down Payment at New Business? Answer: No, 3 rd Party Billing does not require a Down Payment at New Business. Question: A Down Payment used to be two months premium is that still true? Answer: No, we now only require a one month Down Payment. Late Fees/Waivers Question: When are installment fees and late fees mechanically waived? Answer: Installment and Late fees will be mechanically waived if the member makes a full payment at New Business or Renewal prior to the generation of the second bill of the term. If the monthly installment is paid, the installment fee and late fee (if applicable) will still be charged. Question: How many late fees can be waived? Answer: One Late Fee per account can be waived every 12 months. Linking a new billing account to an existing billing account Question: Can I add New Business to an existing account on the FLEX system? Answer: New Business cannot be added to existing FLEX accounts; any New Business will be set up on a Billing Advantage account. Once the existing policy converts to the new billing system, policies can be merged onto one account. Page 3 of 7
Mortgagee/Third Party Billed Policy or Payment Questions Question: What happens if a new homeowner policy's 1st year is paid out of closing if we can't mail a check anymore? Answer: In this situation, you can either select Mortgage Bill as the pay method, or if you have received the check and it is made out to your Agency, you can process it through EZ Sweep. If the check is made out to Allied, you can either deposit in your account (to be swept), or mail it to the lockbox indicated below. It s important to remember to include the Billing Account number on the check to ensure the payment is processed and applied to the member s account in a timely manner. Nationwide Insurance P.O. Box 13958 Philadelphia, PA 19101-3958 Question: Can I deposit a check made out to Allied Insurance into my account? Answer: Most agencies are able to deposit checks made out to Allied into their accounts which will be swept using EZ Sweep functionality. If your bank does not allow this, you can either submit a Resolution form (resides in the elibrary: https://aac.alliedinsurance.com/center/elibrary/view.cfm) to the Bank authorizing you to deposit Allied checks into your account, or you can mail the payment to the lockbox mentioned above. It s important to remember to include the Billing Account number on the check to ensure the payment is processed and applied to the member s account in a timely manner. Question: Many times at closing on a new home purchase, the Mortgage Company wants a billing statement before closing. Before we had an option to print the cash submittal form, but we no longer have that option. How do we get a copy of the bill before closing and before issue of the policy to the closing company? Answer: Mortgage Companies will accept either a copy of the Quote Proposal or a copy of the Application as an alternative to a billing statement. Question: On a Mortgage billed Homeowners policy: if the policy premium is held in escrow, and the payment hasn t been received, will a Notice of Cancellation be sent? Answer: Yes, if the Mortgage Company hasn t remitted a payment by the due date, both the policyholder and the Mortgage Company will receive a Notice of Cancellation. When payment is remitted, we ll send a Rescind Notice to the Mortgage Company informing them that the policy is in good standing. Question: Should I issue a policy even if I m waiting on payment from the Mortgage Company? Answer: Best practice is to release the policy by the effective date. If the Mortgage Company is sending the check directly to your agency, you can release the policy when you receive payment. However, if the Mortgage Company is sending payment to a Lockbox, please issue the policy as soon as possible. Immediately issuing the policy prevents additional delays (due to research) in applying payment to the account. Moving Money between Accounts Question: If there is money being moved on this account, will the money move with this change? Answer: On single policy accounts, the money will move; with multiple accounts, you will need to request that the money be moved. Question: Can I move money between the Flex and Billing Advantage systems? Answer: No, if there is an outstanding credit on the Flex system, it will be refunded to the insured. Page 4 of 7
Recurring Electronic Funds Transfer (REFT)/Recurring Bank Card/FlexChek Question: If a member had FlexChek, do they need to sign an REFT Authorization form when they convert to Billing Advantage? For members new to REFT can I use the same form I ve been using? Answer: No, if the customer had signed an authorization form to deduct funds from their banking account while on the FLEX billing system, they don t need to sign an REFT Authorization form since their signature is already on file. Yes, you can use the same form. Question: Can the REFT pay method be set up on a Savings Account? Answer: Yes, the REFT can be drafted from a Savings Account. Question: Can the REFT pay method be set up to draft from a bank account once a year? Answer: Unfortunately no, the REFT pay method is only available for monthly pay plans. Question: When do we notify the member that we are drafting from their bank account? Answer: If the amount to be drafted from their account is $2.00 or more than the previous draft/bill, we will send the member a paper/email bill to the member. In addition, the member can also receive an ebill 23 days in advance of the due date every month. Payment confirmations are also available. Question: Can members postpone the withdrawal date for an REFT payment? Answer: Yes, members will now be able to suspend an REFT payment through their online account in Member Center. For example, if they won t have funds available on their due date (but will the following day), they can suspend the draft for that month, and it will resume the following month! While they will still need to remit a payment so their policy doesn t cancel, this allows them additional time to make the payment without worrying about overdrawing their bank account. Question: Are we able to change bank accounts for the insureds on REFT, or do we have to call the Service Center if our member changes their bank? Answer: Yes, this task is still available go to REFT Edit/change/suspend link on the left navigation bar to choose this option and make the change. Question: Can Powersports have the REFT pay method? Answer: Yes, but the policy must be on a monthly pay plan. If the policy is on a 1 pay or 4 pay plan prior to conversion, and the member has been paying monthly, they will be notified that it will be moved to a 1 pay or 4 pay direct account on the new billing system. If they want to continue having their payment deducted from their bank account, they will need to be moved to a monthly pay plan and set up on the REFT pay method. NOTE: The 1 pay and 4 pay REFT accounts make up less than.05% of the accounts, so the impact will be minimal. Question: If a bill for an REFT account has already been generated, and you move another policy to the account, can you increase the amount to be deducted from the member s bank account so all policies can be paid together? Answer: No, if there is an outstanding bill for the account with the REFT pay method, we will not increase the amount to be deducted from the member s bank account (we will only decrease an amount due on an impending draft). The scheduled REFT draft will still process for the original REFT account bill, but you will need to get a different form of payment for the policy that was moved. If the PUL policy isn t paid, a bill will not generate for the policies until that open installment is paid. If all policies are paid, the next bill will include the minimum amount due for all policies. Question: Can we sign our members up on the Recurring Bank Card pay method? Answer: You can take a one-time bank card payment at down payment or for an installment, but unfortunately, you can t sign your customer up for RBC at this time due to the handling of sensitive information. We hope to have this as an enhancement in the future, but in the meantime, you ll need to direct them to Member Center on alliedinsurance.com to sign up for RBC. Page 5 of 7
Refund questions Question: Where are refunds mailed? Answer: Refunds will be mailed to the insured at the policy mailing address. Question: With the Service Center Request feature, can a refund be applied to a Commercial account? Answer: Unfortunately, this feature can t be used to apply a personal lines policy credit to a commercial policy. Question: If I have a multi-policy account and an amendment generates a credit on one policy, will the credit be applied to the other policies on the account? Answer: No, a refund is generated at a policy level and will be sent to the insured unless they specifically request that the credit be applied to the other policies on the account. This request can be completed by using the Service Center Action/Transfer money to another account feature. Question: Do I request a credit to be transferred/applied to another policy after the amendment on the other policy processes? Answer: Yes. Reinstatement questions Question: Why can you only reinstate a policy once every 36 months? Answer: This rule is specific to mechanical reinstatements done on the Agent Center. If necessary/eligible, manual reinstatements can be done by Underwriting or the Service Center. Question: Reinstatement verbiage has changed what s different? Answer: Prior to the conversion, Reinstatement meant a policy restarted without a lapse; reissue was a policy restarted with a lapse. After conversion, the verbiage changed to: Reinstatement: Policy restarted with a lapse. Reverse: Policy restarted without a lapse. Pay plan and payment option questions Question: Is the Agency Sweep feature still available? Answer: Yes, Agency Sweep is still available. Question: How many pay plans can be on an account? Answer: The insured can have one pay plan per account. So for example, if they wanted a 4 pay plan for their powersports policy and a monthly plan on for their auto and home policies, they'd have to have two separate billing accounts. Question: Where can I see a Pending Payment? Answer: If payment has been made, you can go to the Pay Bill field and a dialogue box will display with the pending payment information. System functionality questions Question: What happens if you need to exit the system during the submission of a quote? Answer: If you exit out of the quote submission process, you won t be able to make a down payment until the account is set up which could take up to 3 business days. During this time the Billing link is grayed out and the billing information is not available. Once the policy is issued, the batch cycle will catch this and the account will be available within 2-3 days. There is no need to contact the Help Desk or the Service Center; requesting an account to be manually set up may result in duplicate accounts for the customer. Page 6 of 7
Question: What if I need to see the account history before it converted? Where can I find it? Answer: The history for the account prior to conversion can be found under the Billing Menu under Flex Billing History. Question: How does Move Policy work? Answer: The new Move Policy functionality is a useful Self Servicing tool which allows you to move a policy to another account without having to contact the Service Center for assistance. Here are a few helpful tips: o o o Best practice is to move the policy when both accounts don t have an outstanding amount due. Moving a policy that is Direct billed and has an outstanding amount due (Account A) to an account that is REFT billed and has an outstanding amount due (Account B), creates additional work. In this situation, the following will occur: The REFT payment scheduled to draft from Account B will draft but only for the policies that were already on the account. You ll need to get an alternative payment from the member to keep the PUL policy active. If the PUL policy isn t paid, a bill will not generate for the policies until that open installment is paid. If all policies are paid, the next bill will include the minimum amount due for all policies. When moving a policy to an account that has a different due date, remind the member that a payment may be due sooner for the policy that has been moved (ie last due date was 9/20, new due date is 10/10). Question: How do I get a refund from a Cancelled account applied to another account? Answer: Once the policy displays as Cancelled on the Billing account, you can use the Service Center Action Request/Transfer Money feature to request that the refund be applied to another policy that belongs to the member (this does not apply to Commercial policies). This request should be made after the policy is cancelled on the Billing account, but before the refund is mailed to the member. Question: If a member has Property, Auto and PUL policies an account and sends in a partial payment, how does the billing system apply that payment? Answer: The payment will be applied at an account level and will follow the payment reconciliation hierarchy rules: 1) Auto 2) Property 3) Powersports 4) PUL NOTE: If the member makes a payment before the due date, but doesn t satisfy the minimum amount due, a Courtesy letter will be sent thanking them for their payment and reminding them that there is still a remaining amount due. If the member doesn t make a payment by 3 days after the due date, a Warning Notice will be sent. Question: Is there training material available to review? Answer: Yes, Agent Center was updated with training materials and help files with the implementation of the new billing system for the IC agents. Today agents can access 4 tutorials and one overview tutorial through the Sales Academy>Webinars and Tutorials link from the front of the Agent Center Workspace. In addition, we have help files that outline the billing processes, one for PL new business, one for AC Inquiry for maintenance of existing accounts and a Frequently asked Questions document. The AC Inquiry help has a topic specifically for the webinars and tutorials and identifies where they can find them. Page 7 of 7