What is limit in SAP FS-CM - Claims Management?

SAP Term: limit

• Component: FS-CM

• Component Name: Claims Management

• Description: A compensation limit that is specified in the contract for each benefit type and each insured object. A limit can also be stored for each benefit type in cross-contract structures. A limit with an amount of zero is not considered as being a limit.

Smart SAP Assistant

• Key Concepts: 
  In SAP FS-CM Claims Management, a limit is a maximum amount of money that can be paid out for a particular claim. It is set by the insurer and is used to control the amount of money that can be paid out for a claim.
  
  How to use it: 
  When creating a new claim, the user will need to enter the limit for the claim. This limit will be used to determine the maximum amount of money that can be paid out for the claim. The user can also adjust the limit at any time if needed.
  
  Tips & Tricks: 
  It is important to set an appropriate limit for each claim. If the limit is too low, it may not cover all of the costs associated with the claim. If the limit is too high, it may result in unnecessary costs. 
  
  Related Information: 
  The limit in SAP FS-CM Claims Management is related to other features such as deductibles and coinsurance. Deductibles are amounts that must be paid by the insured before any payments are made by the insurer, while coinsurance is an agreement between the insurer and insured where both parties share in the cost of a claim.