2 Ways Insurers Learn About Your Past — and How It Can Cost You

Insurers might know more about you than you think — and that’s potentially costly news for anyone who has filed claims or made inquiries in the past five to seven years.

Auto and homeowners insurance companies track and share information about policyholders with other insurers through two databases, NerdWallet reports. Even policyholder inquiries about issues for which no claims were made sometimes end up in these databases, which are maintained by outside agencies.

NerdWallet continues:

“Insurers that subscribe to the databases can learn about claims you’ve filed going back several years, including the dates and causes of damage, claim check amounts and more. … Your past claims help insurers decide how much to charge for a policy.”

Here’s what you should know about these databases — and what you can do about information about you that’s in them.

Comprehensive Loss Underwriting Exchange (CLUE)

According to LexisNexis Risk Solutions, which maintains CLUE, the database contains two types of reports on policyholders: CLUE Auto Report and CLUE Personal Property Report.

Both types provide a seven-year history of insurance losses associated with a person. The first type is associated with automobile-related losses, while the latter report type details losses associated with the person and his or her personal property.

For every insurance loss on a CLUE report, the following details are provided:

• Date of loss
• Loss type
• Amount paid
• General information (such as policy number, claim number and insurance company name)

Under federal law, you are entitled to receive one free copy of your CLUE reports every 12 months, just as you’re entitled to a free copy of your credit reports maintained by the three national credit reporting agencies every 12 months.

You can order your CLUE reports from LexisNexis via its website or by mail or phone. Detailed directions are available on the company’s website.

As is also the case with your credit reports, you can dispute claims in these insurance reports that you believe are incorrect. LexisNexis says the reports include information about how to do so.

NerdWallet reports that the companies that maintain these databases will investigate disputes within 30 days and remove any errors. You’re entitled to a free copy of corrected reports as well.

Automated Property Loss Underwriting System (A-PLUS)

According to Verisk Analytics, which maintains A-PLUS, this database also contains two types of reports: A-PLUS Auto and A-PLUS Property.

Both types provide “information on a variety of loss and coverage types” going back up to seven years, according to Verisk Analytics’ website.

You are also entitled to a free copy of these reports every 12 months. You can request them by calling the A-PLUS Consumer Report Request Line at 800-627-3487.

To dispute claims, call the Consumer Inquiry Center at 800-709-8842.

Were you aware that car or homeowners insurers tracked and shared details of your claims in these databases? Let us know what you think of this news by commenting below or over on our Facebook page.