Assessment Sheet Model
From OpenQuote
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An essential step in the process of preparing a quotation is calculating the premium. Once the customer has supplied all the information required, the system must assess that information and arrive at a premium. That premium will be made up from a series of calculations based on the systems assessment of the risk presented, of the taxes applicable to it, and of the commissions, management charges and brokerages which apply. In OpenQuote, thus is all done in the policy's assessment sheets in terms of assessment lines.
The Quotation has an Assessment Sheet, and each Section within the Quotation may also have an Assessment Sheet. Each Assessment Sheet contains any number of Assessment Lines.
Assessment Sheet and Premium Calculation
The process for calculating a premium in OpenQuote is standerdised across products, though the rules used will vary greatly from one product to another.
As well as calculations, the assessment sheet's lines also indicate reasons for referral or reasons to decline if necessary.
The OpenQuote PSA Model allows for an assessment sheet on each section and one at the policy level. A simple product would be quite likely to just use the one at the quotation level; while more complex products demand more complex rating and would therefore be likely to use the section level assessment sheets too. It is totally up to the product designer to decide which approach best suits their needs.
As well as being a means to calculate the premium, a quotation's assessment sheets also serve as a record of how the premium was arrived at. If a product produces an unexpected premium, the first place to look when searching for the reason is the assessment sheet. This is especially useful during product development as the product rules are being built.
Types of assessment line
The diagram below shows the available types of assessment line. Each is then described in detail. The types shown in blue are those that you can use, those in grey are abstract types which are shown only to give a complete picture of the model.
AssessmentLine
Base class for all types of assessment lines. Assessment lines record the detail of the calculations to be made in order to arrive at a premium. During the premium calculation process, any number of these lines will be added to the AssessmentSheet of a policy to both define and record how the premium is arrived at. This may well include factors like tax and brokerage, and also will may list the reasons why rating isn't possible in the form or referral or decline indications.
AssessmentNote
Any number of assessment notes may be added to an assessment sheet. Notes have no effect on the assessment or calculation process, they simply provide a place for rules (or other actors) to include some textual information into the assessment sheet.
CalculationLine
A calculation line is a type of assessment line which contains a calculated element.
Behaviour
A behaviour is a type of assessment line, specifically one that has an effect on a calculated amount. A behaviour may "load" or "discount" and may do so with relation to a "rate" or a fixed sum. The behaviour's type gives more detail about the behaviour, e.g. is it a loading, a discount, a tax, etc.
RateBehaviour
An assessment line which applies a rate behaviour. This type of line applies a rate to the value of one line and optionally contributes the result to another line. How the rate is applied depends upon the behaviour type of this line. For example, if this line is a loading (i.e. type=LOAD) then the calculated value will be added to the value of the line indicated by the contributesTo property. If the line is a discount (i.e. type=DISCOUNT) the value will be subtracted from the indicated line.
The rate may be of any type supported by the Rate type, including percent (e.g. new Rate("15%")), permil (e.g. new Rate("5Permil")), and fraction (e.g. new Rate("16/18")).
SumBehaviour
An assessment line which contributes a fixed sum to another line. This type of line applies a fixed amount to the value of another line. How the amount is applied depends upon the behaviour type of this line. For example, if this line is a loading (i.e. type=LOAD) then the amount will be added to the value of the line indicated by the contributesTo property. If this line is a discount (i.e. type=DISCOUNT) the amount will be subtracted from the indicated line.
FixedSum
A type of assessment line representing a fixed amount (as opposed to one that is calculated by applying a rate to another line). If the contributesTo property is defined, the value of this line will simply be added to the value of the indicated line.
Totalizer
The totalizer calculation line sums the value of any number of other named lines up to make a total and optionally contributes that total to another line. The totalizer's value will only calculate when all of the lines which it depends on themselves have values. If one or more of them does not exist, it will not perform its calculation.
Marker
A marker assessment line indicates referral and decline conditions. When risk assessment rules detect a condition that calls for a referral or decline, a line of this type is added to the assessment sheet. The presents of these lines does not necessarily stop premium calculation, but other services may refuse to process quotations when any of these markers are present. For example, the CalculatePremium service will not move a policy to QUOTATION status if any of these markers are present.
Subjectivity
This only exists for backwards compatibility with earlier versions of OpenQuote. It should not be used in new development.
Subjectivity Assessment line. A subjectivity represents a condition that a policy holder must meet before cover will be offered. A typical example in property insurance would be "Subject to a satisfactory surveyors report".
MarkerResolution
An assessment line indicating that a 'Marker' has been resolved. Also know as an override. These are attached to markers (referrals and declines) raised by the system to indicate that they should be ignored when the assessment sheet is processed. Typically the system applies a marker to indicate that the policy should be referred, but an underwriter "resolves" the marker to indicate that he/she is happy for the referral to be ignored.
The optional behaviourID property may be used to indicate some behaviour (e.g. loading) that was applied in the process of resolving the marker. For example, on reviewing a referral the underwrite might choose to accept the risk, but only with an addition loading being applied to the premium. The assessment line which applies that additional loading would be indicated by the behaviourID property.
