Overview of charge patterns

BillingCenter categorize charges using charge patterns. The role of a charge pattern is to identify the charge type and how BillingCenter handles charges of this type.

Every charge pattern specifies the following:

• Subtype – The broad type of charge pattern. In the base configuration, the following types are used during the charge invoicing process:
  • ImmediateCharge – Charges that do not recur and can immediately be recognized as revenue, such as late fees.
  • PassThroughCharge – Charges that are never recognized as revenue and merely pass through the insurer’s accounting system, such as taxes or regulatory fees.
  • ProRataCharge – Charges that are initially entered as unearned and subsequently become earned proportionately over time, such as premium.
• Category – A more granular identification of the charge pattern's type, such as Fee, General, Premium, or Tax.
• InvoiceTreatment – Whether the charge can billed over multiple invoices or must be billed on a single invoice.

For more information on the business functionality of charge patterns, see Application Guide.