Grace Periods and Policy Lapse
The Grace Period mechanism is a way to automatically create cancellations when invoices remain unpaid for a specified duration.
Socotra can be configured to automatically create grace periods if a lapse
property containing a gracePeriodDays
property is set in policy.json
for the product.
If a policy has been issued, and an invoice for the policy becomes past due, the grace period will be created.
The grace period will become settled
when either:
All past due invoices on the policy are paid
The end of the grace period passes
After a grace period reaches its endTimestamp
, the cancellation named lapse
will be automatically created and issued, effective immediately.
If no cancellation with the name lapse
was originally created in configuration, one will be automatically generated.
Note
No lapse cancellation will be created if the policy has already expired or has another cancellation effective in the past.
Documents
A document will be rendered for the grace period if a template called gracePeriod.template.liquid
has been included in the product configuraiton.
In the document template file the data
object will be constructed with a data.policy object, a data.policyholder object, and a grace_period
object. Note that gross premium and similar numbers on the data.policy
object are the totals across all coverage terms.
"data": { "policyholder": {...}, "policy": {...}, "grace_period": { "locator": string "start_timestamp": long, "end_timestamp": long, "invoice": { "locator": string, "display_id": string, "total_due": number, "total_due_currency": string, "due_timestamp": long, "created_timestamp": long } } }