Importance of policy numbers

To make sure commission reconciliation runs efficiently as possible, policies must be uniquely identifiable. 

Contract reference, proposal number and policy numbers are all possible numbers from which contracts can be identified.  If the EDI service cannot find a match, the details will be entered into an Exception List for you to manually reconcile.  Obviously, the lower the instances of mismatches, the better the efficiencies that can be gained and so time better spent on more value adding activities.

Which number, be it contract, proposal or policy, that is used is generally determined by the stage at which a policy is being submitted.  For example, Friends Provident allocate a package (Q) number at the quote/proposal stage.  Once the policy goes 'live', it is allocated a policy number.

Policy numbers can also be prefixed or suffixed with alphabetic characters.  Skandia for example, use an identifier that consists of a 2 or 3 character prefix which identifies the plan header, followed by 9 numeric characters e.g. ABC12345678.

For group pension business, commission tends to be paid at scheme level and appears on a statement under scheme number.  This process is followed by Friends Provident.

The following product providers listed below, do not use 'Proposal Numbers':

• Ageon
• AXA
• Legal and General
• Scottish Widows
• Standard Life