Direct Bill

Overview

Direct bill policies are policies where the insured pays premium directly to the carrier or MGA, rather than through the producer. The producer receives their commission after the payment is collected and reconciled. This is different from Account Current, where the producer collects premium from the insured and remits it to the MGA on a monthly schedule.

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Direct Bill vs. Account Current

Feature	Direct Bill	Account Current
Who collects premium	Carrier/MGA	Producer
Producer remits	Nothing — carrier collects	Monthly remittance
Commission timing	Paid after payment received	Paid on monthly statement
Statement type	Direct bill statement	Account current statement
Typical use	Small agencies, new producers	Established agencies

Before You Begin

• The policy must be configured with Direct Bill billing type. This is set on the producer record or can be overridden per policy.
• Ensure you have the Accounting role.

Viewing Direct Bill Policies

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Direct bill accounting list showing policy number, insured name, producer, premium amount, due date, and payment status

Direct bill accounting list showing policy number, insured name, producer, premium amount, due date, and payment status

1. Navigate to Accounting > Direct Bill.
2. The direct bill list shows all active direct bill policies with their payment status.
3. Use filters to narrow by producer, due date range, or payment status.

Creating a Direct Bill Batch

Direct bill payments are grouped into batches for reconciliation. A batch is typically created when a batch of payments arrives (e.g., a lockbox run or ACH settlement).

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Direct bill batch creation form showing batch date, payment method, and total amount fields

Direct bill batch creation form showing batch date, payment method, and total amount fields

1. Navigate to Accounting > Direct Bill > Batches.
2. Click New Batch.
3. Enter the Batch Date (the date payments were received).
4. Select the Payment Method (check, ACH, credit card).
5. Enter the Total Batch Amount.
6. Click Create Batch.

Adding Payments to a Batch

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Direct bill batch detail showing a list of policy payments being added with policy number, amount, and check number columns

Direct bill batch detail showing a list of policy payments being added with policy number, amount, and check number columns

1. Open the batch record.
2. Click Add Payment.
3. Search for the policy by policy number or insured name.
4. Enter the Amount Received.
5. Enter the Check Number (if applicable).
6. Click Add to Batch.
7. Repeat for each payment in the batch.

Reconciling Direct Bill Payments

1. When all payments have been entered, verify the batch total matches the expected total.
2. Click Reconcile Batch.
3. The system marks each policy as paid for the applicable period.
4. The producer’s commission for these policies is queued for the next commission run.
5. Click Close Batch to finalize.

Note

If the batch total does not balance, the system will not allow you to close it. Review individual payment entries for discrepancies before reconciling.

Handling Partial Payments

If an insured pays only part of the premium:

1. Enter the amount actually received (even if partial).
2. The policy appears in the Outstanding Payments queue for follow-up.
3. See Outstanding Payments for the follow-up workflow.

Commission Release on Direct Bill

Commission is not released to producers until payment is received and reconciled. To check the commission status for a direct bill policy:

1. Open the policy record.
2. Navigate to the Commissions tab.
3. The status shows Pending Payment until the direct bill payment is reconciled.
4. After reconciliation, the status changes to Released and the commission appears on the next commission report.

See Commissions for more detail on the commission workflow.