| Coverage terms - phased vs. non-phased |  |
| A coverage term stores agreements about the duration, the cost covering method, and the costs of the contract agreements. You can link the coverage term to one of the following types of terms, such as: Material Labor Tooling Subcontracting Helpdesk Freight Uptime Traveling Other All Phased and non-phased coverage terms Template coverage terms are phased when you fill in the number of periods and the period unit. Otherwise, the terms are considered non-phased. Contract/warranty coverage terms are phased when you define the start date and the end date. Otherwise, the terms are considered non-phased. Use phased terms and non-phased terms Use phased coverage terms to define periodical ceilings, for example: Ceilings on consumables (only n toners per quarter for a copier) Ceilings on number of calls (only n calls per quarter) Use non-phased coverage terms to consider the coverage of a term for the entire period for which the configuration line is valid. Copy a template to a contract If you copy a template to a contract and the template header duration is less than the contract renewal duration, the template coverage terms is made proportional to the contract duration for non-phased coverage terms. Example: Template header duration: One year Contract renewal duration: Two years Non-phased template coverage term ceiling: EUR 1,000 Resulting coverage term ceiling on contract: EUR 2,000 When you copy a template that contains a phased coverage term, the coverage term on the contract is also phased . Example: Template header duration: One year Contract renewal duration: One year Template coverage term: One month Resulting number of coverage terms on contract: 12 Related topics Coverage terms - phasing examples |