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General Liability Rating
When we quote and endorse the General Liability products, our pricing services use the product model data, product rating procedure, and pricing formulas. The services use these components to price the coverages. The services do the following:
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Pull data from the General Liability product model to form the rating input data.
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Call the rating procedure and rating input data to calculate the coverage prices.
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Take the coverage price data returned by the rating procedure, then inserts it into the pricing formula(s) in the product model.
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Roll up the coverage prices to the total (quoted) premium price.
The rating procedure we use to rate the General Liability is the Rating_GeneralLiability integration procedure. Any time a broker or customer service rep generates a quote for a potential customer, the quote business process calls the rating procedure to calculate the price for that quote.
Each insurer defines how they will calculate prices for their insurance products. This rating procedures provide realistic examples for calculating commercial insurance product prices. You can use our example as a guide as you decide how to create your own business insurance rating procedures.
To learn the basics about Vlocity Insurance rating procedures for pricing insurance products, see Rating Procedures.
Rating Input
To understand the construction of the rating procedure, you need to understand the form of the input data passed into the procedure. The General Liability product includes the Building and Location insured item specs as the insured items.
You can modify their respective deductibles. All coverages in these models are associated directly to the root product specs.
To learn more about these product models, see General Liability Product Model.
Rating Procedure
For General Liability, we use the integration procedure:
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Type/Subtype - Rating/GeneralLiability
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Version - GeneralLiabilityRating
The integration procedure rates the business by calling the RateGeneralLiability calculation procedure and passing this key-value pair to it:
Key |
Value |
What It Does |
|---|---|---|
includeInputs |
true |
Turns on the code that pulls the instance keys specified by the includeInputKeys option. |
For more information on the RateGeneralLiability calculation procedure, see General Liability Calculation Procedure.
Pricing Formulas
The total policy premium is calculated on the product model. This happens on the Simulate tab of the product model. On the Simulate tab, you see the Rating Inputs and Rating Outputs mapped from the rating procedure. To learn how to do this, see Map Ratings to Product Specs
The formula total policy premium for the General Liability product in the General Liability > Total Pricing Formula field is PolicyPremium.
Next Steps
After you've gotten a look at the rating procedure, go to the General Liability product model and try simulating the rating procedure that's mapped to the product model.
Then you can go on to the quote flows to see how the General Liability rates products for quotes.
- General Liability Calculation Procedure
The General Liability calculation procedure rates all the coverages for the quote. This calculation procedure includes variables, constants, and calculation steps. Some of those calculation steps are matrix lookups that call specific calculation matrices.
