Example: Configure a 60/30/10 Milestone Split

To configure a 60/30/10 milestone split, create three Billing Treatment Items, each linked to the same Billing Treatment. Each item represents one milestone and defines both the percentage to bill and when it is due.

Assume the Billing Schedule Start Date is January 1 (derived from the policy effective date during issuance).

Billing Treatment Item 1: 60% Down Payment

• Percentage: 60%
• Billing Type: None
• Milestone Commencement Trigger: Billing Schedule Start Date
• Milestone Commencement Offset: 5
• Offset Unit: Days

Resulting due date:

January 6 (5 days after the billing schedule start date)

Billing Treatment Item 2: 30% Installment

• Percentage: 30%
• Billing Type: None
• Milestone Commencement Offset: 1
• Offset Unit: Months

Resulting due date:

February 1 (1 month after the billing schedule start date)

Billing Treatment Item 3: 10% Installment

• Percentage: 10%
• Billing Type: None
• Milestone Commencement Offset: 6
• Offset Unit: Months

Resulting due date:

July 1 (6 months after the billing schedule start date)

The Billing Schedule Start Date is derived from the policy lifecycle context and varies by transaction type. For example:

• Policy Issuance: The Billing Schedule Start Date is derived from the policy Effective Date.
• Policy Endorsement: The Billing Schedule Start Date is derived from the Endorsement Effective Date.
• Policy Cancellation: The Billing Schedule Start Date is derived from the Cancellation Effective Date.

Each Billing Treatment Item uses this Billing Schedule Start Date along with its configured offset to calculate the billing schedule date for that milestone.