What is insurance type in SAP FS-CD - Collections/Disbursements?

SAP Term: insurance type

• Component: FS-CD

• Component Name: Collections/Disbursements

• Description: Central insurance-specific additional account assignment field.

Smart SAP Assistant

• Key Concepts: 
  Insurance type is a component of the Financial Services Collection and Disbursement (FS-CD) module in SAP. It is used to define the type of insurance that is associated with a particular payment or collection. This information is used to determine the appropriate accounting entries for the transaction. 
  
  How to use it: 
  In order to use the insurance type component, you must first create an insurance type in the system. This can be done by navigating to the FS-CD module and selecting “Insurance Types” from the menu. From there, you can enter the details of the insurance type, such as its name, description, and any other relevant information. Once you have created an insurance type, you can assign it to a payment or collection by selecting it from a drop-down list when creating or editing the transaction. 
  
  Tips & Tricks: 
  When creating an insurance type, make sure to enter all relevant information so that it can be easily identified later on. Additionally, it is important to ensure that all payments and collections are assigned an appropriate insurance type in order to ensure accurate accounting entries. 
  
  Related Information: 
  For more information on using the insurance type component of FS-CD, please refer to SAP’s official documentation on the topic. Additionally, there are many online resources available that provide detailed tutorials and best practices for using this feature.