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LexisNexis – 10 Steps to Follow

Mar 16, 2021 | Industry News

If you’re considering opening an independent insurance agency, LexisNexis is almost guaranteed to be a part of that process.

So what is LexisNexis?

LexisNexis provides agents information such as MVR and CLUE reports through various carriers’ quoting systems to impact rating decisions.  If the carriers that you’ll be getting appointed with use LexisNexis (most but not all do) to gather the necessary information for rating, you’ll need to get authorized by LexisNexis prior to being able to secure appointments with those carriers.  Therefore, understanding and navigating the LexisNexis process efficiently is going to be very important for you.

Majority of insurance agents complete the LexisNexis process in less than 2 weeks.  On the contrary, we have seen the LexisNexis process hold up an agent being able to write business for several weeks.  This article is to help make sure you fall into the former category.

IMPORTANT – IF YOUR AGENCY IS LOCATED IN CA, YOU MUST OBTAIN A COMMERCIAL REQUESTOR ACCOUNT (CRA) FROM THE CA DMV PRIOR TO COMPLETING THE LEXISNEXIS PROCESS.

IF YOUR AGENCY IS NOT LOCATED IN CA, YOU CAN SIMPLY GET AUTHORIZED WITH LEXISNEXIS.

10 Steps to Execute the LexisNexis Process Efficiently

  1. Confirm that your agency’s legal entity name and address match what is on your agency license.
    1. If you’re using a DBA, make sure it is filed with the appropriate Secretary of State or County.
  2. Confirm that your agency’s online address and phone number are consistent with what you submit on the LexisNexis application.
  3. Confirm that the agency’s name is on the lease or sublease and a utility bill.
  4. If the address is your home residence, the room that the agency operates from must have a locking door. If you have filing cabinets, they need to have a lock.
    1. LexisNexis wants to ensure security of the data so any space (executive suite, home office, storefront, etc. MUST have security measures like locked doors/cabinets, etc.
    2. Prior to COVID, PIIB required an actual office but things have changed so if you go with a home office, ensure data collected is secure.
  5. If you’re in CA, complete the CRA Application (INF 1106) and mail in with a $50 application fee.
    1. Once you receive approval and a code for your CRA, then move on to LexisNexis.
  6. Apply for a LexisNexis Node ID (Remember, legal name and address should match on LexisNexis application and carrier appointment applications, including commas and periods).
    1. Under Sponsor Information, you’ll want to select a carrier you intend to be appointed with. This has to do with who pays for the MVRs/CLUE reports.
  7. You must have at least one active sponsoring carrier account to receive a Node ID so applying for carrier appointments and LexisNexis should be almost simultaneous.
  8. Be responsive at the phone number that is listed on the LexisNexis application. LexisNexis Credentialing will attempt to reach the authorized representative (agency principal) 3 times prior to withdrawing the application.
  9. You can call LexisNexis Credentialing at (800) 869-0751 to check on the status of your Node ID.
  10. LexisNexis automatically provides the Node ID once it’s authorized to the sponsoring carrier. It’s a good idea to get your Node ID from the sponsoring carrier so that you can provide it to other carriers you’ll be appointed with.
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