Audit procedures regarding outstanding premium and agents balances.
pg 12.9, Q.10.
1 Answers
There can be policies, where annual premium is due and receivable, further there can be case where premium money or advance etc is receivable from agent.
Now recovery of money from third parties is always a risk, it is good policy if third party has given us bank guarantee or given us deposit for adjustment.
if such things exist then no worries, auditor will not ask for provisions or write off of debit balances