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Sanlam “provision for dummy lapse”
Sanlam “provision for dummy lapse”

A recent difference on Sanlam commission statements are due to what they call “dummy lapse”.

Amanda de Bruyn avatar
Written by Amanda de Bruyn
Updated over 3 months ago

What is the problem?

In some cases, where Sanlam identifies a client that might cause a lapse in commission, they make provision for that lapse, which might affect the income for an adviser. They call these “dummy lapses” and it appears on the commission statement as "Provision for Lapsable Commission (dummy lapses)”:

Sanlam dummy lapse

However, if there was no lapse for this product, the commission will be released on the next commission statement:

Now, you will notice that there is no specified plan number for this dummy lapse, which means Commspace doesn’t know which client to allocate this commission to, so it won’t be processed like the rest of the statement items.

What can I do to fix this?

  1. The released amount is the same as the held-back amount on the previous commission statement.

    • You can copy the same information from the previous commission statement, that is “plan number”, “planholder initials”, “planholder surname” and “member no.” and paste into your current commission statement.

  2. The released amount is NOT the same as the held-back amount on the previous commission statement.

    • Contact Sanlam to request the member information, to ensure you use the correct dummy lapse data.

Now you can import your current commission statement and Commspace will recognise this line items and process as per usual.

As always, if you have any further queries or need assistance with this, feel free to contact our support team.

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