Loans > Loan Screens > Insurance Screen Group > Adjustments Screen > Processing transactions > Cancel Other Insurance transaction (tran code 2910-00)

The Cancel Other Insurance transaction (tran code 2910-00) is used to cancel credit insurance policies other than VSI, fire, and flood policies (types 90-99). For example, this transaction would be used if a new loan was originated with life and/or accident and health insurance, and the borrower did not want the insurance. You would use this transaction to cancel the policies.

In addition, if during the term of the loan the borrower wants to cancel a policy, you would use this transaction to do so.

See the Cancel Insurance Policies topic for step-by-step instructions on how to process this transaction.

	Note: If Institution Option OP12 IHGL is enabled, you cannot cancel the 71 (limited property damage) insurance types with this transaction. Use the Remove LPD Insurance transaction (tran code 2890-71) in GOLDTeller instead.

The transaction requires you to enter the account number, cancellation code, effective date, policy number, and an insurance policy type (types other than 90-99) or check the Cancel All checkbox.

Institution Option DRLP will allow the transaction to be run without the policy number. If the Cancel All checkbox is checked and no policy number is entered, then all policies with no policy number will be canceled (with the exception of policy types 90-99).

If Institution Option OP24 RFIN (Refund Interest on Other Insurance Cancel) is enabled, the Cancel Other transaction (2910-xx) will refund interest if a payment was made between the date of the transaction (today) and the effective date of the cancellation. The cancellation type must be an insured request (type 4) and the account must be simple interest (payment method 6). The results will be displayed on the Loans > Insurance > Reversal Report screen. If this option is turned off (default), an Other (non-VSI) insurance policy will not reamortize interest for an insured request cancel. The interest will not be refunded.

The Cancel Other Insurance transaction box displays the following fields:

Account Number

Insurance Type (cannot be 90-99)

Code (valid cancellation codes are 2-Flat Cancel and 4-Insured)

Policy Number

Effective Date

Cancel All

•	When the transaction is run, the program places the transaction effective date in the Cancellation Date field on the Loans > Insurance > Policy Detail screen.

•	The transaction amount is calculated based on the cancellation date and cancellation code, and will be placed in the Refund Amount field on the Insurance Policy Detail screen.

•	The cancellation code (valid codes are 2-Flat Cancel and 4-Insured Request) is placed in the Cancellation Code field on the Policy Detail screen.

•	The principal balance is reduced by the transaction amount, and the P/I constant is restored to the Original PI Constant (found on the Loans > Account Information > Additional Loan Fields screen).

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You must have an insurance record with an insurance policy type other than types 90-99 (VSI, fire, flood insurance) established before the Cancel All insurance checkbox will work. If the Cancel All checkbox is not checked, then you must have at least one insurance record that matches the insurance policy type passed in the transaction, and it will drop all insurance records that match that type (any insurance policy type of 90-99 will be rejected).

•	The remaining costs and commissions are amortized (or unamortized) to reflect the cancellation with tran codes 461, 462, 761, and 762, then the commissions and costs are rebated with tran codes 100 and 110.

If the effective date on the transaction is not the same as the policy effective date, that policy will be skipped.

If the policy is cancelled “flat” (cancel code 2), payments are backed out and reapplied to the Effective Date using the original P/I constant.

On an “insured request” (cancel code 4), only today’s date will be accepted in the Effective Date transaction field.

The history description for this transaction is “Cancel Misc Ins.” If Institution Option OP12 IHGL is enabled, the transaction will refund the finance charge amount (on payment method 3 loans) from the principal balance. The remaining finance charge will be earned at monthend.