Loans > Loan Screens > Insurance Screen Group > Policy Detail Screen > Commission Information tab

Field

Description

Original Amount

Mnemonic: INCORG

Use this field to indicate the original amount of the commission earned for the corporation for selling the selected insurance policy. See below for more information.

This amount can be amortized over time, or it can be taken as one lump sum. This amount is credited into the General Ledger account set up on the GOLD Services > General Ledger > Setup G/L and Commissions screen.

This amount is determined when the insurance policy is originated by calculating the Original Premium amount and multiplying it by the Commission Percent (see below), then looking up the percentage amount of the commission due to corporations entered in the Corporation Percentage field on the Setup G/L and Commissions screen.

Example:

Original Premium = $500

Commission Percent = 30 percent

Branch % on Insurance Premiums G/L and Commissions screen is 70%.

Corporate % on Insurance Premiums G/L and Commissions screen is 30%.

Cost % on Insurance Premiums G/L and Commissions screen is 5%.

500 X .30 X .70 = $105 to the branch.

500 X .30 X .30 = $45 to the corporation.

500 X .30 X .05 = $7.50 for costs.

If a rebate is due back to the insurance policy holder due to a payoff or cancellation, the amount displayed in the Remaining Amount field below is due back to the customer, and this rebated amount will also be debited from the General Ledger account set up on the Insurance Premiums G/L and Commissions screen.

During loan origination from GOLDTrak and the VSI Insurance transaction, this amount is automatically calculated and entered based on percentage entered in the Corporation Percentage field on the Setup G/L and Commissions screen.

Remaining Amount

Mnemonic: INCREM

Use this field to indicate the unearned amount of the corporate commission for your institution. In the event of the loan being paid off or the selected insurance policy being canceled, any amount in this field will be rebated back to the customer. See also: Amortization Method.

Amortized Amount

Mnemonic: N/A

This field displays the amount of the commission that has been earned by the corporation for this insurance policy. It is calculated by subtracting the Remaining Amount from the Original Amount (see above). This calculation is also based on the Amortization Method selected.

Commission Percent

Mnemonic: INCMPT

Use this field to indicate the commission percent earned for selling the selected insurance policy. Use this field in calculating the Original Amount for Branch, Corporate, and Cost (Commission Percent x Original Premium).

The amount earned from the commission percent can be divided amongst the branch and corporation, according to how the fields are set up on the GOLD Services > General Ledger > Setup G/L and Commissions screen.

On the Summary of Insurance Report (FPSRP190), the commission amount for the month is calculated using this field. It is calculated as follows:

Gross Premiums - Refunds = Net Premiums x Commission Percent = Commission earned for month