CLUE is short for Comprehensive Loss Underwriting Exchange, otherwise known as the really big database where insurance companies keep track of the claims filed on a property as well as the claims filed by individuals. Your CLUE report impacts the rate and availability of policies that insurers will sell to you.
These two articles, from a database of fantastic articles NAR (the National Association of REALTORS) provides for REALTORS (yes, we have to capitalize that) to share with clients and on websites, etc. are an excellent starting point for understanding the impact of filing insurance claims.
Homeowners Insurance: To Claim or Not to Claim?
It’s that age-old conundrum: You pay for homeowners insurance to protect yourself from financial ruin, yet filing a claim when disaster does strike puts you at risk of seeing your annual premiums increase by hundreds of dollars. Worse, either a major claim or too many claims in a given period, no matter how legitimate, could lead to losing your house’s coverage altogether.
While it can be a fine calculation to make, every time there’s damage to your property or an accident on it, you need to consider carefully whether it makes financial sense to file a claim or absorb the losses yourself. The fates of your homeowners insurance and your bank account hang in the balance. Here’s how to do the fuzzy math.Read more of this article on HouseLogic.com
Your CLUE Insurance Report Matters
A tree falls on the roof of your house. You file an insurance claim with your agent, collect a settlement from the insurer, and fix your roof. End of story, right? Not quite. Every claim you make on your homeowners insurance is recorded in a widely used insurance industry database called CLUE, short for Comprehensive Loss Underwriting Exchange.
Almost all insurance companies use CLUE to check on the claims history of prospective policyholders. The CLUE insurance report also includes claims made on your home before you even bought it. A-PLUS is another company that maintains a loss-history database. What’s inside these reports can affect your insurance premiums, or even prevent you from getting coverage. Read more of this article on HouseLogic.com
Visit houselogic.com for more articles like this.
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