Why Millennials, Gen Z, and Gen Alpha Need to Check Their LexisNexis Report for Better Auto Insurance Rates
The world of auto insurance can often feel like an unfair maze of red tape, rising premiums, and confusing fine print. For Millennials, Gen Z, and Gen Alpha—groups that are just beginning to build their financial foundations—understanding how the industry works is critical to avoiding unnecessary costs, especially when it comes to auto insurance rates. But did you know that your LexisNexis report plays a crucial role in determining your insurance rates? This report can impact how much you pay for car insurance, and if there are errors or inaccuracies in it, you could be paying much higher rates than necessary.
Here’s a guide to understanding your LexisNexis report, why it matters, and how it can affect your insurance premiums—and how to avoid pitfalls along the way.
What is the LexisNexis Report?
LexisNexis is a data analytics company that provides information used by insurance companies to assess risk. When it comes to auto insurance, LexisNexis compiles a driving history report (sometimes called a Driving History Report, Insurance Risk Report, or Auto Insurance Report) that insurance companies rely on to determine how much you should pay for coverage.
Your LexisNexis report includes a variety of information, such as:
Traffic violations or accidents you’ve been involved in (even if they were not your fault)
Claims history (even claims made against you)
Your car’s history, including whether it’s been involved in a high number of claims or accidents
Driving habits, including how often you drive or where you typically drive
Insurance history, including whether you've had lapses in coverage
This report, alongside other factors like your credit score and driving record, can significantly influence the premium rates you pay for your auto insurance.
Why Does the LexisNexis Report Matter for Your Insurance Rates?
In the world of auto insurance, insurance companies use the LexisNexis report to assess the risk you pose as a driver. Based on your report, they may categorize you as a higher risk, meaning you’ll pay higher premiums. Or, if the report shows minimal accidents, violations, or claims, you may be eligible for lower rates.
Here’s a key reason why it’s critical to check your LexisNexis report regularly:
Errors on Your Report Can Drive Up Your Insurance Premiums
Just like credit reports, your LexisNexis driving report can contain errors. If an accident or traffic violation is listed that didn’t happen or was falsely attributed to you, it could cause insurance companies to charge you more. Not disputing these errors could lead to you paying higher premiums for years.Your History Affects Your Future Rates
Even if you’ve never been in an accident, you might still be labeled a “higher risk” driver based on a past claim or violation, even if it wasn’t your fault. This can impact your rates—sometimes for several years. Young people often underestimate the impact of their driving history on future premiums, but it’s important to understand how that past information is used to calculate your rates.It Affects Insurance Eligibility
If there are serious errors or questionable entries on your LexisNexis report, it could make it harder to find affordable coverage. In extreme cases, it could even prevent you from being able to secure insurance at all.
How to Check Your LexisNexis Report
Before you can challenge anything or even understand your current rate, you need to access your LexisNexis driving report. Here’s how:
Step 1: Request Your Report
You can request a copy of your LexisNexis Insurance Report for free once a year, just like you would with a credit report. It’s important to stay on top of it so you can identify and dispute errors that might cost you.
Visit the LexisNexis Consumer Center website: https://consumer.risk.lexisnexis.com
Create an account or log in if you already have one.
Once logged in, you can request a copy of your driving history report. This will give you all the information LexisNexis has collected on your driving habits and insurance history.
Step 2: Review Your Report Carefully
Once you have access to your LexisNexis report, be sure to review it thoroughly. Look for:
Accidents or claims that you don’t recognize
Traffic violations that weren’t your fault
Lapses in insurance coverage that shouldn’t have occurred
Other errors related to your vehicle or driving history
If you notice anything that doesn’t seem right, you should take immediate action to correct it.
How to Dispute Errors in Your LexisNexis Report
If you find inaccuracies in your LexisNexis report, you have the right to dispute them. Here's how to do that:
Step 1: Identify the Error
Clearly identify what information is incorrect. This could be:
Traffic accidents listed that you weren’t involved in
Violations that you never committed
Vehicle ownership history that doesn’t align with your actual records
Step 2: Gather Supporting Documentation
To strengthen your case, gather any documents that back up your claim, such as:
Police reports for accidents
Ticket receipts for violations
Insurance statements that show coverage or claims history
Step 3: Contact LexisNexis
To dispute the information, you need to contact LexisNexis directly:
Call their Consumer Services line: (888) 497-0011
Or send a dispute through the online portal or mail. More info can be found on their official site: https://consumer.risk.lexisnexis.com/contact-us
Step 4: Follow Up
After submitting your dispute, LexisNexis is legally required to investigate and resolve it within 30 days. Keep track of your dispute status and ensure you get a corrected report if any errors are found.
How the LexisNexis Report Affects Auto Insurance Rates
It’s essential to understand the direct relationship between your LexisNexis report and your auto insurance rates. Insurance companies use the data in your LexisNexis report to determine whether you are a high-risk or low-risk driver, and the higher the risk, the higher the premium.
Low-risk drivers (with no accidents or violations) often pay lower premiums.
High-risk drivers (with accidents, claims, or violations) will pay higher premiums.
While auto insurance companies have their own algorithms, many of them rely on LexisNexis to make these calculations. The data it contains impacts whether you qualify for discounts (like good-driver or no-claims discounts) or whether you face surcharges.
Avoiding Common Pitfalls with Insurance Rates
Don’t Ignore Your Driving History
Your driving history is tied to your LexisNexis report, so it’s important to drive safely and be mindful of traffic laws. One accident or violation can affect your rates for years.Always Compare Insurance Companies
Not all insurance companies treat your LexisNexis report the same. Rates can vary widely, so always shop around and compare quotes to find the best deal for your driving profile.Ensure Your Report Is Accurate
Even small errors in your report can result in higher premiums, so make sure to check it regularly and dispute any inaccuracies as soon as you spot them.Ask About Discounts
Many insurance providers offer discounts for safe driving, bundling policies, and other factors. If you’ve had a clean driving record or been accident-free, don’t be afraid to ask your insurer about discounts.
Conclusion: Take Control of Your Financial Future
For Millennials, Gen Z, Gen Alpha, and other younger groups, understanding your LexisNexis report is crucial to managing your financial future. It directly impacts auto insurance premiums, and inaccurate data could cost you a lot of money. By reviewing your report regularly, disputing errors, and making informed choices about your auto insurance, you can save money and avoid falling victim to the often confusing and costly world of auto insurance.
