That is 'Current account' | Information 2019 - What is it?
Current account - the final statement detailing financial performance of business of the certain insurance agent for the determined period. These statements form the basis for coordination of accounts between the insurer and the agent. The current account provides documentation basis as the paid insurance premiums with travel of holders of the insurance policy between insurance company, agencies and agents.
2019 - Current account
Current account, Information - 2019
DESTRUCTION of 'current account' | Information 2019 - What is it?
The current account spreads financial components of business of the insurance agent in detail. The statement usually comprehensive in it, it defines an award and work of the requirement at the separate strategic level. Accounting also, as a rule, shows final information on the transaction as the report of the former due balances. These balances occur either because of the insurance agent or because of the insurer, depending on balance of the paid requirements, award which are written also what are returned, and the commissions.
Final points on a current account can include rough awards, the commissions of agency, the pure sum which is subject to payment on the current statement and the payments made or received between each giving of accounting.
Separate columns of a position for policy can include a name of the agent signing policy, strategic number, a name of the insured party, date of strategic signing and the bonus sum for the insurance policy. Other points include percent of the commission of the agent, the actual sum in dollars of the commission and the sum net because of the insurer for that certain policy.
The vital role of statements of a current account in insurance operations
Because of their financial agreement with insurance company for which they work, insurance companies demand accounting level except that standard profit and loss report (P/L). The income of the insurance agent arrives from part of the paid insurance premium on the insurance policy. Though the insured parties usually pay an award directly to their agents, other enterprises can have a requirement of some part of bonus funds.
For example, the insurance company receives the commissions and collecting earned on sale of the insurance policy. After that pure awards belong to the general agents or insurance companies, depending on structure of agency. The insured parties have the right to return awards if their insurance policy is cancelled before his expiration date. Similarly, investment companies can have a requirement on return awards if the insured property is exposed to the lease agreement or a mortgage.
As the recipient of full awards, the agent has a fiducial duty to keep those funds in trust before their payment. The current account documents money which have to be transferred between insurance companies and agents to cover awards and requirements on policy which the agent watches.
Industrial instructions demand that guaranteed detailed records that the paid insurance premiums holders of the insurance policy send to the insurance company signing them policy. Documentation provided by a current account guarantees timely payment of awards to the general agents or insurance companies as it is required by a fiducial duty of the agent.
Warning About Refusal! The information on our website may be out-of-date and not official. For more information, please visit the Bank's official website.
For credit, insurance and account opening issues, please contact the Bank's consultant by phone. Thank you for using our site.
If we don 't have accurate information or it is out-of-date, please notify us by E-mail.