CBA bills individual unit and driver coverage.
When generating a monthly bill, CBA checks the billing history of each individual Unit/Driver coverage and bills forward. If there is no billing history for the individual coverage, CBA will then bill forward from the inception date of the coverage.
When calculating premium for adds and deletes, CBA uses the inception and termination date of each individual coverage to calculate the premium.
Inception dates and termination dates are at 12:00am. The Inception Date is the first day with coverage and is included in the calculation of premium. The Termination Date is the first day without coverage (terminating at 12:00am) and is not included in the calculation of premium.
Here are a few examples (using the graphic above) for illustrations purposes only. CBA has many billing options which may or may not be included in the samples below. If you have any questions regarding the calculation of adds and deletes on your account, please contact your CBA administrator.
Billing for the month of May: NTL - $30/month. OA - $150/month. PD – 3%/year (insured value $30,000)
Daily Prorate
OA – 17 days of coverage – [(17 days / 31 days) * $150] = $82.26
NTL – 16 days of coverage - [(16 days / 31 days) * $30] = $15.48
PD – Full month - $75
EOM – Coverage effective on the last day of the month pays full month. Otherwise no charge
OA – Effective on the last day – full month - $150
NTL – Not Effective on the last day – No Charge
PD – Effective on the last day - full month - $75
Cutoff on the 15th – Coverage effective on the 15th of the month pays full month. Otherwise no charge
OA – Effective on the 15th – full month - $150
NTL – Effective on the 15th – full month - $30
PD – Effective on the 15th - full month - $75
If you have any further questions regarding coverage and billing, please contact your CBA administrator.