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How Can You Put LexID to Work for Your Insurance Business?

Finger-pointing-to-a-world-of-dataIn my previous blog, I shared with you 4 Things You Should Know About LexID®, and how LexisNexis® Risk Solutions uses it in combination with our proprietary linking technology to resolve, match and manage consumer information. You’ve probably heard about LexID, but you may be asking, “how does LexID benefit my business and how can I take advantage”? In this blog, I share how some of our insurance customers are using LexID in their business processes.

Thanks to the digital transformation that has taken place over the last decade or so, insurers typically acquire new customers through several channels, including online and over the phone. With so many transactions submitted digitally, doors are open to errors and potential fraud. Incomplete records can be caused by customers mis-keying or misstating information in their application.

As an insurer you need to make sure individual entities or individuals can be resolved to a single data point. That sounds like a simple thing. But can you confidently identify individuals across your different databases? Can you identify addresses correctly? Can you identify households? It’s crucial to link your data sources together, and that’s where LexID comes in.

Initial batch append – getting started

Whether you are a multiline P&C carrier, non-standard auto carrier, monoline life carrier, etc., our relationship begins with an initial batch to append a LexID to all records within your database. This allows you to begin the process of achieving the sought after “single customer view” and fully understand the holistic relationship you have with your customers across various products and lines of business.

New consumer appends (Batch/XML) – new business

LexID, however, isn’t just a one-and-done process. As your business gains new applicants and customers over time, you can obtain a LexID for these individuals and incorporate it into your existing database. Below are two ways carriers are integrating LexID into their workflows. 

  1. By implementing our interactive LexID service, LexID can be ordered in real-time. As new applications come in through one of your sales channels, a LexID is ordered and used to make real-time business decisions. A lot of customer situations can be identified during this step: Is this person a past customer or applicant? Is this person a past claimant? Has this person used a different name or address to apply? With answers to these questions, the application can be directed to the appropriate next step in the underwriting process.
  1. Employing a regularly occurring batch process. Although this doesn’t allow for a LexID to be ordered in real-time, it can be used to capture LexIDs on new consumer identities to update your centralized customer database. These are typically done on a daily, weekly, or even monthly basis.

Beyond appending new applicants, how do you capture changes in consumer information and update your database accordingly? Many of our customers that have embedded LexID within their database also utilize our LexID maintenance process. This method solves for any changes in data that may have occurred over time, as well as capture any consumer LexIDs that may not have been found in the past. Quarterly maintenance is considered an industry best practice to keep your database in sync with ours.

In summary, there are various steps involved to fully utilize the LexID unique identifier within an organization. However, those that do so can reap the benefits. Not only does LexID help tie together individuals across multiple lines of business and assist you with creating a single customer view, but it also helps you gain a better understanding of customer lifetime value across the customer lifecycle.

LexID truly is the machine behind many LexisNexis products that leverage authentication, verification and other identity management capabilities. If you would like to know more about how LexID can help you gain richer, more accurate insights while protecting your customers and your business, contact your account representative today or call/email us at 800.458.9197 or insurance.sales@lexisnexisrisk.com.