What is unallocated loss adjustment and expenses reserves in SAP FS-CM - Claims Management?

SAP Term: unallocated loss adjustment and expenses reserves

• Component: FS-CM

• Component Name: Claims Management

• Description: A liability held for expenses that cannot be allocated to a specific claim, such as flat-rate costs.

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• Key Concepts: 
  Unallocated Loss Adjustment and Expenses Reserves (ULAER) is a component of the SAP FS-CM Claims Management module. It is used to manage the financial aspects of insurance claims, such as reserves for expected losses and expenses. ULAER allows insurers to set aside funds for expected losses and expenses, and to adjust them as needed. 
  
  How to use it: 
  ULAER can be used to create reserves for expected losses and expenses, and to adjust them as needed. It also allows insurers to track the status of claims, including the amount of money that has been paid out and the amount that is still outstanding. Additionally, ULAER can be used to generate reports on the financial performance of claims, such as the total amount of money paid out and the total amount of money still outstanding. 
  
  Tips & Tricks: 
  When setting up ULAER, it is important to ensure that all relevant information is entered accurately. This includes the type of claim, the amount of money that has been paid out, and any other relevant details. Additionally, it is important to regularly review the reserves in order to ensure that they are up-to-date and accurate. 
  
  Related Information: 
  ULAER is part of the SAP FS-CM Claims Management module, which also includes features such as claims processing, claims management, and reporting. Additionally, ULAER can be integrated with other SAP modules such as Financial Accounting (FI) and Controlling (CO).