What is the difference between a supplement and a correction?
A supplement is a change made to the scope of the loss after the initial ACV payment has been made. It’s important to track additions, changes, and deletions made as part of the supplement ensure proper accounting. Payment Tracker creates reports to identify how these changes impact the payment due to the insured. The most common type of supplement occurs when a few additional items are added that may have been forgotten initially by the insured. In this case, the amount due to the insured increases by the ACV amount of those added items. However, if items were changed or deleted, it’s possible this could create an overpayment situation. A correction is a change made to the scope of the loss before the initial ACV payment is made. In this case, it’s not important to track the changes made because once the correction is complete a payment will be made for the full amount.