Invoicing
The Korint API provides an invoicing service. An invoicing configuration is attached to the policy and defines options on when and how invoices are issued.
Invoice object
The Invoice object is attached to a policy and holds all information pertaining to an invoice. There are 2 types of invoice:
- Premium: represents the effective premium amount to pay for the insured assets during the corresponding period
- Reconciliation: represents the amount (can be positive or negative) to pay to make up for MTA changes that occurred during the span of the policy, and to keep the books in proper balance
Invoice attributes
| Attribute | Description |
|---|---|
| type | The type of invoice |
| amount | The invoice amount |
| issuedAt | The invoice issuance date |
| period | The period covered by the invoice |
Invoice statuses
| Status | Transition |
|---|---|
| PENDING | confirmPolicy |
| ISSUED | Automatic at issuedAt |
| CANCELLED | confirmPolicy on a MTA branch |
Invoice statuses follow this diagram:
Invoicing configuration
For now, two invoicing configurations are possible.
Yearly invoices
Rules
In this configuration, premium invoices are issued once per year. The yearly premium invoice is issued as soon as possible, i.e. on the first day of the policy start month, or on the date you confirm the policy if you confirm after the policy has already started.
A reconciliation invoice is always issued one month after the end of the policy year to take into account potential MTAs and changes in the policy.
Examples
Example 1: policy starts after the end of current month
You create and confirm a policy on the 20th of March 2023, defining its start date to be on the 10th of April 2023.
The yearly premium invoice covering the period Apr 10 2023 - Apr 10 2024 is issued on the 1st of April 2023.
The reconciliation invoice is issued on the 10th of May 2024.
Example 2: policy starts before the end of current month
You create and confirm a policy on the 5th of April 2023, defining its start date to be on the 10th of April 2023.
The yearly premium invoice covering the period Apr 10 2023 - Apr 10 2024 is issued on the 5th of April 2023 (confirmation date).
The yearly reconciliation invoice is issued on the 10th of May 2024.
Example 3: policy starts retroactively
You create and confirm a policy on the 15th of April 2023, defining its start date to be on the 10th of April 2023.
The yearly premium invoice covering the period Apr 10 2023 - Apr 10 2024 is issued on the 15th of April 2023 (confirmation date).
The yearly reconciliation invoice is issued on the 10th of May 2024.
Monthly invoices
Rules
In this configuration, premium invoices are issued once per month. Invoices are either issued on the first day of the month they cover when possible, or on the confirmation date if the first day of the month already passed. They always cover a period of 1 month, from the 1st to the last day of the month, except for the first and last ones that may cover a shorter period.
The first monthly premium invoice covers the period spanning from the policy start date to the end of the month.
The last monthly premium invoice covers the period spanning from the 1st of the last month to the policy start date plus 1 year.
Reconciliation invoices are issued on the first day of the next month whenever MTAs occur.
If the early payment option is set in the invoicing configuration, the first monthly invoice is always issued on the policy confirmation date.
A reconciliation invoice is always issued one month after the end of the policy year to take into account potential MTAs and changes in the policy that happen after the end of the policy.
Examples
Example 1: policy starts after the end of current month, with an MTA in June
You create and confirm a policy on the 20th of March 2023, defining its start date to be on the 10th of April 2023.
If the early payment option is set, the first monthly premium invoice covering the period Apr 10 2023 - May 01 2023 is issued on the 20th of March 2023 (confirmation date). Otherwise, it's issued on the 1st of April 2023.
Each one of the next monthly premium invoices is issued on the 1st of its corresponding month, and covers the period from the 1st to the last day of the month.
You create and confirm an MTA on the 20th of June 2023, which changes the policy premium for the period Jun 01 2023 - Jul 01 2023. Since the premium invoice for this period was already issued (on the 1st of June 2023), a reconciliation invoice is issued on the 1st of July 2023, to make up for the new premium amounts.
The last monthly premium invoice covers the period Apr 01 2024 - Apr 10 2024 and is issued on the 1st of April 2024.
Example 2: policy retroactively starts, with an MTA after the policy end date
You create and confirm a policy on the 20th of June 2023, defining its start date to be on the 10th of April 2023.
On the 20th of June 2023 (confirmation date), 3 invoices are issued:
- the first one covers Apr 10 2023 - May 01 2023
- the second one covers May 01 2023 - Jun 01 2023
- the third one covers Jun 01 2023 - Jul 01 2023
Each one of the next monthly premium invoices follows the normal issuance flow and is issued on the 1st of its corresponding month, covering the period from the 1st to the last day of the month.
The last monthly premium invoice covers the period Apr 01 2024 - Apr 10 2024 and is issued on the 1st of April 2024.
You create and confirm an MTA on the 20th of April 2024, after the end of the policy, which changes the policy premium for the period Apr 01 2024 - Apr 10 2024. Since the premium invoice for this period was already issued (on the 1st of April 2024), a reconciliation invoice is issued on the 10th of May 2024, to make up for the new premium amounts.