# Cancelling an add-on policy and journalling the money (/docs/procedures/cancel-add-ons-and-journal-money)

---
type: Document
title: Cancelling an add-on policy and journalling the money
description: Step-by-step process for cancelling a supplementary add-on policy (e.g. Legal Expenses) and moving the resulting credit onto the main policy's return premium via a journal payment.
status: stable
order: 1
sources:
  - id: cancel-addons-journal-money
    resource: "CANCEL ADD ONS AND JOURNAL MONEY.pdf"
    title: Cancel add ons and journal money
generated: { by: "process:claude-code", at: 2026-09-21T00:00:00Z }
ksor:
  audience: [public]
  owner: human:vasimisap
  approval: { by: "human:abbietolley", at: 2026-09-21T00:00:00Z }
trust_tier: unverified
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---

Repeat this process for any add-on policies being cancelled alongside a main
policy (in the example below, a Legal Expenses add-on with policy type
LE).[^cancel-addons-journal-money]

## Cancel the add-on policy

1. Go to the supplementary policy (e.g. LE) and find it on IREV
   Xtra.[^cancel-addons-journal-money]
2. Select **Cancel** in the top right and enter the policy start
   date.[^cancel-addons-journal-money]

The supplementary policy is now cancelled on IREV Xtra. This now needs to be
reflected on OGI.[^cancel-addons-journal-money]

## Create the cancellation transaction on OGI

On the add-on policy's page, right click on the **New Business** transaction
and select **Create Transaction**:[^cancel-addons-journal-money]

![Right-click menu on the New Business transaction, with Create a Transaction highlighted](/images/procedures/create-transaction-menu.png)

- **Transaction Type** = Cancellation
- **Effective Date** = Policy Start Date
- **Original Debt** = full policy cost (e.g. £10 for Legal) — enter this as
  a **negative balance**
- **Charge Code** = pulls through automatically as `3` for a cancellation
  transaction

![Create a Transaction form filled in as a cancellation, with Original Debt entered as a negative balance and Charge Code 3](/images/procedures/create-transaction-form.png)

Press Enter until no more boxes appear.[^cancel-addons-journal-money]

This leaves a £10 credit on screen and a -10.00 balance owing, which needs
to move to the main policy.[^cancel-addons-journal-money]

## Move the credit to the main policy

1. On the add-on policy, right click the -10.00 balance and select
   **Accept a Payment**. Enter **Amount Received** = -10 and **Payment
   Method** = `J` (Journal), then press Enter. This should leave no balance
   outstanding on the add-on policy.[^cancel-addons-journal-money]

   ![Accept a Payment form with Amount received -10.00 and Payment Method J (Journal)](/images/procedures/accept-a-payment-form.png)

2. Go back to the main policy, right click on the cancellation line that
   details the return premium, and select **Accept a Payment**.
   [^cancel-addons-journal-money]

   ![Right-click menu on the main policy's cancellation line, with Accept a Payment highlighted](/images/procedures/main-policy-accept-payment-menu.png)

   Enter **Amount Received** = 10.00 and **Payment Method** = `J`, then
   press Enter.[^cancel-addons-journal-money]
3. If a box appears asking to "reverse payment marked as contra", select
   **Yes**.[^cancel-addons-journal-money]