How does a Policy differ from a PolicyType in ClaimCenter?

A Policy is a specific contract issued to an insured individual or entity that outlines the terms of coverage, obligations of both the insurer and the insured, and the conditions under which claims can be made. It is an operational document that defines the actual agreement between the insurance provider and the policyholder.

On the other hand, a PolicyType serves as a classification or category for policies. It identifies the business line, such as auto, home, or commercial insurance. Each PolicyType encapsulates the general characteristics, rules, and structures that apply to all policies under that category, allowing for the configuration of coverage options, limits, and applicable forms.

This distinction is crucial in ClaimCenter as it allows for the organization and management of various insurance products more efficiently. While multiple policies can fall under a single PolicyType (representing a specific line of business), each Policy is unique to the individual circumstances and needs of the policyholder.