Do you have home or auto insurance? If so, it’s time to get familiar with CLUE, a little-known insurance industry database. CLUE stands for Comprehensive Loss Underwriting Exchange. This database tracks your auto and home insurance claims history. That’s important because your claims history plays a big role in how much you have to pay for insurance.
Insurers look at your CLUE report closely. If they see that you've made a lot of claims over a long period of time, they may peg you as a less-than-desirable customer. Even the number of calls to insurers sometimes is noted.
Thanks to CLUE, you can run - but you can’t hide.
Why? Claims history doesn’t just follow you – it also follows your property. For instance, if the previous owner of your home made a claim, it’s a spart of your home’s CLUE history. That means you may have to pay a higher price for home insurance.
So, how do you find out what claims exist in your CLUE report? You have the right to a free copy of the report every 12 months, which you can request from LexisNexis. Be sure to look for any errors and dispute them right away.
If you're making an offer on a home, a good tip is to ask the seller to provide you with a CLUE report so you know the property’s claims history before finalizing the sale.