Page 7 - Utility Bill Pay Operational Flow6.23.20

Lapse Cancellation Process
VOLUNTARY CANCELLATION PROCESS
• If a customer calls AIG to cancel their Utility Bill Pay coverage, AIG will process the cancellation in its system
o AIGwillsendconfirmationofcancellationtothe customer
o AIGwillnotifytheUtilitytocancelthecoverageontheir system, and no longer calculate and charge premiums to the customer’s account
• If a customer calls the Utility to cancel their Utility Bill Pay coverage, the Utility will direct the customer that they must call AIG to do so (warm transfer preferable).
LAPSE PROCESS
• If a customer fails to make their premium payment, the monthly activity file report from the Utility to AIG will reflect that.
o Atthatpoint,AIGwillsendthecustomera Warning/Delinquency Letter*
• If the customer fails to make their premium payment and falls 2 months in arrears (as per activity file), AIG will send a 2nd Warning/Delinquency Letter*
• If a customer fails to make another premium payment, and falls 90 days in arrears, AIG will send the customers a Lapse Notice* stating that their coverage has been cancelled. AIG will also notify the Utility to cancel the coverage on their system, and no longer calculate and charge premiums to the customer’s account
*All notices will include instructions on how to bring policy current. HIGHLY CONFIDENTIAL