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OHBEN1183 - Define Cost Rules

ROGBILLS - Synchronize billing plans   CL_GUI_FRONTEND_SERVICES - Frontend Services  
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In this step, you define the actual costs for a miscellaneous plan.

You need to define costs for each possible combination of employee grouping in the criteria you have attributed to each variant. If you have not specified any criteria in a variant, you assign one rule only.

A miscellaneous plan may have flat costs or costs based on coverage.

In the cost rules, you need only specify an amount if the plan has flat costs. If cost is based on coverage, you need to specify the cost factor per base unit (for example, $0.15/$1,000).

The system calculates cost as follows:

(Coverage amount / Base unit) * Cost factor = Benefit cost

The Company Car plan offers the following coverages with fixed costs:

• Small Car SMCT

• Large Car LGCT

The cost grouping specifies 2 groups, depending on where the employee lives:

• GRP1 - employees living up to 20 miles from work

• GRP2 - employees living over 20 miles from work

The cost rules are set up as follows:

SMCT

Cost grouping	Cost
GRP1	$200
GRP2	$220

BGCT

Cost grouping	Cost
GRP1	$300
GRP2	$330

GRP2

1. Determine the different costs that apply to different groups of employees in your organization.
2. Select the plan and cost variant for which you want to define cost rules, as prompted.
3. Choose New entries.
4. Enter the combination of employee groupings for which you want to define costs.

To help you, the system will only allow you to enter those employee groupings that you defined as relevant in the cost variant.

1. Enter the validity dates for the rule.
2. Enter the employee costs, employer costs/credit and provider costs as either flat amounts or factors of coverage.

If you enter a factor, you must also enter a base unit.

1. If required, specify how costs are to be rounded.

Note that rounding takes place on the basis of the period which you set in the variant, and which is displayed in this view for informational purposes. Values are first calculated for this period and then rounded.

1. Save your entries.
2. Choose Back and repeat steps 2 to 8 for each combination of employee grouping, for each cost variant in each plan.

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