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It consists of granular classes called time model functions which perform a well defined business tasks based on external trigger like scheduled or unscheduled changes. For each of the business and technical processes a business transaction is available Example: Change of premium Payer, Create Policy loan etc. With these features of FS-PM which makes it integrate with other SAP Insurance modules and at same time has its own components for management of data including great extendibility and customizable framework and a independent product definition module tightly integrated making it a efficient policy processing solution which helps to reduce redundancies and errors and therefore improve revenue and competitive strength.

Efficient handling of renewal and mid-term adjustments, automation of mass processes, and identification of relevant risks helps to reduce costs and improve transparency. The integrated yet modular SAP platform gives insurers the opportunity to pace implementation of new solution components and take an evolutionary approach to legacy replacement.

Insurance Market Insurance market has grown and adapted with and around the industry as it has progressed and it is still evolving. The contract management encompasses all Lob independent information and processes in service oriented components such as: The business objects are managed efficiently and centrally e.

Unit Linked Products Accounting component provides dialogs, business functions and background processing for subledger relevant and GL relevant transactions Different business transactions are available to be executed both in background and foreground Update and better controlling of all business functions with Time Model Functions 4. Integration Aspects of Policy Management FS-PM sets benchmarks in Insurance because it allows an integration of all insurance components and acquires a complete and flexible product-driven in-force business management which also meets future requirements with cross-LoB approach.

Product Management Through a combination with Product Manager msg. Data exchange takes place in two directions: Reference model describes the properties of contract management and is imported to the product manager. The SAP data categories are mapped to the msg. PM from contract management, to allow calculations to be performed there and to enable the reconciliation process with the reference model.

The reference model cannot be edited in the product manager Data is exported from the product manager to contract manager — static product data and calculation results. In contract management the system administrator uses extension services for enhancements 1.

Policy reads data from the business partner to get e. Business partner is used across FS-PM main axis hierarchy in form of policy holder, premium payer, insured person etc. Non-CF accounting documents are transmitted to FI for the creation of a balance sheet.

The customers need to be informed about the change which happened to their policies; FS-PM sets a trigger in the correspondence tool that information has to be sent. At the point when the correspondence takes place internal SAP system or customer system the correspondence tool calls back to FS-PM to get the data of the contract.

In most cases the claims management system needs data from the policy management in order to process a damage or loss which was claimed by the customer. An update of the policy may happen in case of a damage or loss Example: Communication happens via the PFO position assignment. Distribution plans have to be exported finally to FS-ICM to regulate the amounts that an agent or manager gets.

Policy management provides a wide range of business processes to be executed within like: Components within Policy Management FS-PM itself comprises of many components integrated within for better control and performance on policy products which also encompasses check and derivation rules, Business rule validations and important components like: Transfers the data which are entered by the user in subordinate layers Process Layer: Handles business Activities and processes, helps to define UI, and Monitors the channel layer.

Maintains the entity relationship and groups them in a business object Data Access Layer: Manages all entities of data dictionary tables and generates classes to access database table. Summary With these features of FS-PM which makes it integrate with other SAP Insurance modules and at same time has its own components for management of data including great extendibility and customizable framework and a independent product definition module tightly integrated making it a efficient policy processing solution which helps to reduce redundancies and errors and therefore improve revenue and competitive strength.

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