Table of Contents

Guidewire Training

Guidewire training Policy Transactions

In Guidewire PolicyCenter training, the term Policy Transactions refers to the various business operations that create, modify, or terminate an insurance policy over its lifecycle.

Here’s a breakdown of how this is usually covered in training:

1. Core Concept

A policy transaction in Guidewire is any change that affects the terms, coverage, premium, or status of a policy.
Training explains that transactions are always initiated from a Job in PolicyCenter, and each job type represents a different business process.

2. Common Policy Transactions (Jobs)

Training walks you through each standard transaction type:

Submission
Creating a new policy quote and issuing the policy.
Renewal
Continuing coverage for another term, possibly with changes.
Policy Change (Endorsement)
Making mid-term adjustments — like adding a driver or changing coverage limits.
Cancellation
Terminating a policy before its natural expiration date.
Reinstatement
Restoring a canceled policy to active status.
Rewrite
Creating a new policy to replace an existing one (often due to significant changes or correcting issues).
Reissue
Issuing a corrected or modified version of a policy document without altering its coverage terms.

3. Training Topics for Policy Transactions

In Guidewire training, you usually learn:

Lifecycle of a Transaction — How it moves from draft to quoted to bound to issued.
Roles & Permissions — Which user roles can start and approve transactions.
UI Navigation — How to find and start each type of job.
Transaction-specific screens — For example, Policy Change includes an effective date and list of modifiable coverages.
Integration Points — How underwriting rules, rating, and document generation tie into transactions.
Underwriting Approvals — How PolicyCenter enforces business rules before binding.
Versioning — How PolicyCenter maintains a record of all changes for auditing.

4. Real-world Example

You issue a homeowner’s policy in January (Submission).
In March, the customer adds a detached garage (Policy Change).
In December, the policy automatically renews for another term (Renewal).
If the customer forgets to pay and coverage lapses, you might later restore it (Reinstatement).

If you’d like, I can also give you a training-style visual flow of how each Policy Transaction type works in PolicyCenter, which is often how instructors present it in official Guidewire courses. That way, it’s easier to see the connections between them.

Life Span of Policy

Policy Period

1. Definition

A Policy Period represents:

The start date (effective date) when coverage begins
The end date (expiration date) when coverage ends (unless renewed or canceled)
All coverages, insured objects, limits, deductibles, and premiums in force during that span

2. Relationship to Policy Transactions

Each Policy Transaction (submission, renewal, policy change, etc.) creates or modifies a Policy Period.
If you renew a policy, a new Policy Period is created for the next term.
Midterm changes update the existing Policy Period but maintain history so you can see what changed.

3. Structure in PolicyCenter

Training usually covers:

Policy Number — Remains the same across periods for the same policy.
Period Number — Increments with each renewal or rewrite (e.g., P-00012345-01 → first term, P-00012345-02 → second term).
Effective and Expiration Dates — Core boundaries for the coverage.
Coverable Objects — Vehicles, properties, schedules that are insured in that period.
Premium Calculation — Based on rating data captured for that period.
Status — Draft, Quoted, Bound, Issued, Canceled, etc.

4. Real-world Example

Imagine:

Homeowners policy effective Jan 1, 2025 to Dec 31, 2025 = Policy Period 1
Renewal from Jan 1, 2026 to Dec 31, 2026 = Policy Period 2
If you add a shed in July 2025, that change updates Policy Period 1 without affecting Policy Period 2 (until renewal).

5. Why It’s Important

Underwriting — Risk assessment applies per period.
Rating & Billing — Premiums are calculated for that specific period only.
Auditing & History — Every period has a locked record of what was in force, which is crucial for disputes and claims.