Add a payment coupon to a policy

A payment holiday allows a policyholder to skip one or more monthly premium payments for a given month. However, it does not exempt the policyholder from settling any outstanding premiums after the holiday period. 

Payment coupons

• When are Payment Coupons issued?
  • Payment coupons are issued to policyholders when they are granted a payment holiday.
• Impact of a payment coupon
  • One payment coupon delays premium collection by one month.
• Multiple payment holidays
  • If a payment holiday is granted for multiple months, a separate payment coupon must be issued for each month.

Summary

• Payment holidays provide temporary relief from paying monthly premiums.
• After the holiday, premium payments resume and all outstanding premiums will be settled at some point.
• A payment coupon is required for each month of the payment holiday to delay premium collection accordingly.

Example

Sally has requested a three month payment holiday. The responsible agent will need to add three coupons to Sally’s policy.

A payment holiday is granted and a payment coupon is issued as follows:

1. Log into your Root dashboard.
2. Click on the Policies icon in the blue navigation bar on the left side of your screen. 
3. Search for and click on the policy to which you want to add a payment coupon.

4. Click on Payments in the grey policy menu on your left or scroll down to the Payment section. 
5. Click on the Actions menu on the right.

6. Select Request payment holiday from the drop-down menu.
7. Fill in the relevant information for the payment holiday:

• Schedule for the month of - Select the month and year of the payment holiday being granted
• Reason - Specify the reason for granting the payment holiday

8. Click Create.

Once a payment holiday is created, the payment coupon will reflect under the Coupons section of the policy.