Licensing & Appointments (LNA) automates and standardizes the two-way flow of information needed to manage agent information between insurance carriers and distributors, eliminating paper and simplifying data exchange.  It also provides for money settlement between parties for licensing- and appointment-related fees.

Overview

Licensing & Appointments (LNA) automates and standardizes the two-way flow of information needed to manage agent information between insurance carriers and distributors, eliminating paper and simplifying data exchange.  It also provides for money settlement between parties for licensing- and appointment-related fees.

Who Can Use the Service

Insurance carriers, broker/dealers, banks, and insurance agencies affiliated with broker/dealers or banks and their agents are eligible.  Participants need to be full-service members of the National Securities Clearing Corporation (NSCC). Special Data-Services-Only (DSO) memberships are also available.

Benefits

With LNA, customers can:

• Decrease operating costs by reducing redundant manual processes and eliminating paperwork, faxes, and overnight mail.
• Reduce the lead time for obtaining licensing and appointment authorizations, allowing agents to begin selling the same day, depending on state regulations.
• Eliminate unauthorized sales by reconciling distributors’ and carriers’ records.
• Support straight-through processing (STP), giving participants the means to manage appointments from start to finish without manual intervention in many state jurisdictions.
• Facilitate cleaner renewals through daily synchronization of agent data, ensuring that carriers have accurate, up-to-date records for appointment renewals, thus eliminating the substantial cost of renewing agents that are no longer employed with the distributor or licensed in the state of renewal.
• Increase “in-good-order” business by producing fewer rejects and providing better levels of compliance with state regulations.
• Execute mass appointments by allowing carriers to create thousands of agent records and appointment requests in a matter of days, versus weeks or months.
• Transfer appointments seamlessly from one distributor to another, without substantial cost or time commitment to the carrier or distributor – a key benefit for financial institutions acquiring or merging with other organizations.
• Secure confidential data through DTCC’s Securely Managed and Reliable Technology (SMART) network, which provides centralized, end-to-end managed communications for all post-trade clearance and settlement processing.
• Choose, as a no-cost addition to the service, a web-based desktop data-entry request and confirmation reporting tool (LNA Access^®) that allows distributors to enter pre-defined required data or upload a file directly for licensing and appointment information.

How the Service Works

Using a mainframe or Internet connection, insurance carriers and distributors can send information on licensing and appointments back and forth through NSCC, which provides an easier and more efficient method to communicate. 

For More Information

Please contact Insurance & Retirement Services at 1-888-382-2721, or email us at insurance@dtcc.com.