Subsequent Premiums (SUB) transmits subsequent premium information from distributors to insurance carriers.

Overview

Subsequent Premiums (SUB) transmits subsequent premium information from distributors to insurance carriers. The service provides an efficient, straight-through process for validating, formatting, and submitting subsequent premium payments while incorporating same-day money settlement. 

Who Can Use the Service

Insurance carriers, broker/dealers, banks and insurance agencies affiliated with broker/dealers or banks and their agents are eligible.  Participants need to be full-service members of the National Securities Clearing Corporation (NSCC).  Special Data-Services-Only (DSO) memberships are also available.

Benefits

With SUB, customers can:

• Settle money the same day for subsequent premium payments.
• Automate reconciliation of receipts and payments; eliminate checks and wire transfers and their associated costs.
• Achieve a higher percentage of “in-good-order” business by reducing the number of data-entry errors. 
• Simplify and streamline premium payments and lower costs by reducing paper and manual processing so that distributors can focus on servicing customers.   
• Secure confidential data through DTCC’s Securely Managed and Reliable Technology (SMART) network, which provides centralized, end-to-end managed communications for all post-trade clearance and settlement processing.

How the Service Works

Using a mainframe or Internet connection, distributors electronically send subsequent premium information to NSCC, which then routes the payments to insurance carriers and settles the premium. 

For More Information

Please contact Insurance & Retirement Services at 1-888-382-2721, or email us at insurance@dtcc.com.