What is complete-year method in SAP FS-PM - Policy Management?

SAP Term: complete-year method

• Component: FS-PM

• Component Name: Policy Management

• Description: Calculation of the insurance-specific age at entry with difference formation between the start year and the year of birth for the insured person.

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• Key Concepts: 
  The complete-year method is a feature of the SAP FS-PM Policy Management component. It is used to calculate the amount of an insurance policy premium that is due for a full year, even if the policy was taken out part way through the year. This method takes into account the number of days in the year that have already passed when calculating the premium. 
  
  How to use it: 
  The complete-year method can be used when calculating premiums for insurance policies that are taken out part way through the year. To use this method, you will need to enter the start date of the policy and the total premium amount for a full year. The system will then calculate the amount of premium due for the remaining days in the year. 
  
  Tips & Tricks: 
  When using the complete-year method, it is important to remember that it only applies to policies taken out part way through the year. If a policy is taken out at the beginning of a year, then the full premium amount should be charged. 
  
  Related Information: 
  The complete-year method is just one of many features available in SAP FS-PM Policy Management. Other features include policy renewal, policy cancellation, and policy transfer. For more information about these features, please refer to SAP's official documentation.