What claims history actually is
Claims history is the multi-year record of property insurance claims tied to two things at once: the person applying for insurance and the address being insured. It is tracked in two industry databases — LexisNexis CLUE (Comprehensive Loss Underwriting Exchange) and Verisk A-PLUS — that every major carrier pulls during the application and at renewal.
Two facts surprise most homeowners: (1) claims tied to the address stay on the report even after a sale, so a buyer inherits the prior owner's claims for pricing purposes, and (2) reported losses can appear on CLUE even if no payment was made — an inquiry call to the insurer's claims line is sometimes enough.
How long claims stay on file and how carriers weight them
| Claim type | Years on CLUE / A-PLUS | Typical underwriting impact |
|---|---|---|
| Water damage (any cause) | 5 to 7 | Highest impact; two in 5 years often = decline |
| Liability / dog bite | 5 to 7 | One often triggers exclusion or decline |
| Theft / burglary | 5 to 7 | Two in 3 years frequently = decline |
| Fire | 5 to 7 | One is a major flag; two = decline at most carriers |
| Wind / hail | 5 to 7 | Weighted by ZIP frequency; one in hail alley = expected |
| Hurricane / named storm | 5 to 7 | Lighter weight in coastal states where it is expected |
| Lightning | 5 to 7 | Generally low impact unless repeated |
| Roof leak (slow) | 5 to 7 | Treated as maintenance; major flag |
| Mold (any cause) | 5 to 7 | Often disqualifying alone |
| Inquiry only (no payment) | 0 to 3 | Carrier-dependent; can still raise premium |
How carriers price and accept based on claims
- 0 claims in 5 years: Best rates, all carriers open.
- 1 weather claim in 5 years: Most admitted carriers still write; small surcharge possible.
- 1 non-weather claim (water, theft, liability): Carrier pool narrows; loss-free discount typically lost.
- 2 claims of any kind in 5 years: Many preferred carriers decline; standard or non-standard markets only.
- 3+ claims in 5 years: Admitted market is typically closed; surplus lines or state FAIR plan is usually the only option.
- Any water claim in the last 3 years: The single biggest red flag in current homeowners underwriting.
What does not appear on CLUE
Claims paid out of pocket without ever being filed do not appear. This is the underlying reason agents urge homeowners to think carefully before opening a small claim. A $4,000 plumbing leak claim with a $2,500 deductible recovers $1,500 of cash and can cost $400 per year in surcharges for the next five years — a net loss of $500, plus exposure to nonrenewal.
The homeowner's right to the CLUE report
Under federal law, every homeowner can request a free CLUE report from LexisNexis once per year. The report shows every claim tied to the homeowner's name and to any address they have owned, including the loss date, peril, amount paid, and status. Reviewing the report before shopping a policy is the single best way to avoid an unpleasant surprise at quote time.
If the report contains an error — a phantom claim, a wrong amount, an inquiry coded as a loss — the homeowner can dispute it with LexisNexis directly. Corrections typically take 30 days. Carriers re-pull the report at renewal, so the correction must be on file before the next renewal cycle.
Claims history when buying a home
Because CLUE follows the address as well as the owner, a buyer can request a CLUE report for the property they are about to buy (the seller has to authorize it). A home with two water losses in the past 3 years is a different insurance proposition than a clean property at the same price — sometimes a $1,500 to $4,000 per year difference. Asking for the seller's CLUE report is one of the highest-leverage steps a buyer can take before closing.
How Agents can help
Agents pull both the homeowner's CLUE and the property's loss history at the start of the shopping process, identify any reportable items the homeowner may not even remember, and pre-qualify carriers based on each carrier's published claim-count rules. For homeowners with prior water, mold, or multiple-claim histories, Agents identify surplus-lines markets and state plans that will still write the risk, and explain exactly which surcharges and deductible changes apply.