Secondary Financial Component Processing

This section demonstrates how the eligibility and entitlement engine creates secondary financial components for active deductions. As part of financial component creation, the eligibility and entitlement engine searches for active deductions during the eligibility and entitlement period by searching through the case deduction item table. If the eligibility and entitlement engine finds any deduction items, it compares the deduction item's cover periods to the financial components cover periods. If the deduction records apply during the cover period of the financial components, the eligibility and entitlement engine creates additional financial components for deductions. These additional financial components are secondary to the primary financial components.

The sample data used in Financial Component Processing is also used in this section for the primary financial components. In addition to the sample data in Financial Component Processing, this section uses deduction sample data to demonstrate how secondary financial components are created. The following table describes the deduction sample data used in this section:

Table 1. Deduction Data for Secondary Financial Component Processing

Deduction Data

Description

Case

The case on which the deduction has been created and activated.

Start Date

April 10th is the start date of the deduction.

End Date

May 10th is the end date of the deduction.

Percentage

The deduction percentage is 10%. This is the rate to be deducted from the benefit payment.