Handling Discrepancies in Commission Statements

Steps

Step 1: Identify the Discrepancy

1. Compare the carrier/MGA commission statement with the corresponding transactions in Momentum AMS.

2. Note any of the following:

   • Transactions missing from Momentum AMS.

   • Incorrect commission or premium amounts.

   • Duplicate transactions.

   • Policies listed in the statement that do not exist in the system.

Step 2: Verify Policy Details

1. Search for the policy in Momentum AMS using the policy number.

2. Confirm that:

   • The policy exists in the system.

   • The policy number format matches exactly with the carrier statement.

   • The endorsement term matches the statement’s date range.

Step 3: Check Transaction Generation

• If a transaction is missing:

  1. Go to the policy’s endorsements tab.

  2. Verify that a transaction was generated for that endorsement.

  3. If not, click Generate Transaction to create the missing payable and receivable records.

  4. For detailed guidance, see Troubleshooting Missing Commission Transactions in Momentum AMS.

Step 4: Review Commission Rules

1. For agent commissions, confirm that the correct commission rules are set up and active.

2. If rules were missing or incorrect during reconciliation, update them and, if necessary, re-run the Generate Agent Commissions process.

   • See Troubleshooting Missing Agent Commissions in Momentum AMS for details.

Step 5: Investigate Amount Mismatches

1. Confirm the commission rate in the policy matches the agreed rate with the carrier/MGA.

2. Check for endorsements or mid-term changes that may have affected premium and commission amounts.

3. If the carrier statement is incorrect, contact the carrier/MGA for clarification or an adjusted statement.

Step 6: Handle Duplicate Transactions

1. If duplicates exist, determine if they came from:

   • A CSV import that was run twice.

   • An Ignore Duplicates checkbox setting that was incorrectly applied.

2. Remove or adjust duplicate transactions as needed.

Step 7: Unreconcile if Necessary

• If the discrepancies are too extensive to fix within the current reconciliation:

  1. Go to Miscellaneous → Accounting Items → Agency Statements (or Agent Statements for producer commissions).

  2. Locate the statement in question.

  3. Click Actions to the left of the statement.

  4. Select Delete and choose one of the following options:

     • Delete just statement (leave commission payments) — Removes the statement record but keeps all commission payment transactions in place.

     • Delete Statement and Commission Payments — Removes both the statement and the commission payment transactions.

     • Delete statement, commission, and commission payments (Only use for CSV import) — Completely removes the statement, commission records, and commission payment transactions. This should only be used if the statement was imported via CSV and needs a full reset.

• This process unreconciles the statement and allows you to start fresh with accurate data.

Step 8: Finalize Reconciliation

1. Once discrepancies are corrected, return to the Reconciliations module.

2. Proceed with reconciliation following the steps in:

   • Reconciling Agency Commissions or

   • Reconciling Agent Commissions.

Best Practices

• Always check policy number formatting between the carrier statement and Momentum AMS before importing or reconciling.

• Investigate and resolve missing transactions before finalizing a statement.

• Keep detailed notes on discrepancies for audit and follow-up purposes.

• Address recurring issues with carriers/MGAs to prevent repeated mismatches.

• Verify import previews carefully when uploading CSV files to prevent duplicates.

• Remember you can unreconcile a statement by deleting it and choosing to remove both the statement and the commission payments.