How Long Claims Stay on Your Insurance Record

Insurance claims reflect instances where policyholders seek financial assistance for covered losses. Understanding how these claims are recorded and how long they remain accessible is important for policyholders. This information influences future insurance rates and coverage options.

Understanding Insurance Claim Records

An insurance claim record is a detailed account of any incident for which a policyholder has sought coverage from their insurer. These records typically contain specific information such as the date of the loss, the type of loss (e.g., fire, theft, collision), the amount paid out, and whether the claim was a liability claim. They also include administrative details like the policyholder’s name, policy number, and the insurance company involved.

Insurers and third-party databases maintain these records for several reasons. Primary purposes include underwriting new policies, assessing the risk associated with an individual or property, and preventing fraudulent claims. By reviewing past claim history, insurance companies evaluate a policyholder’s risk profile, which directly impacts the premiums and coverage terms they offer. This system helps ensure that insurance rates accurately reflect potential future costs.

Centralized databases, such as the Comprehensive Loss Underwriting Exchange (CLUE) and the Automated Property Loss Underwriting System (A-PLUS), are instrumental in this process. These systems collect claim data from various insurers, providing a comprehensive history of claims on an individual or property. Even if a claim is denied or closed without payment, it can still appear on these reports, as insurers report interactions related to potential losses.

Standard Retention Periods for Claims

The duration an insurance claim remains on your record varies, commonly falling within a range of five to seven years. This timeframe is influenced by the type of insurance and the specific policies of the provider. During this period, claims can affect premiums and future coverage availability.

For auto insurance claims, the general retention period is often between three to five years, though some insurers may consider claims for up to ten years. The Comprehensive Loss Underwriting Exchange (CLUE) report for auto insurance details claims filed for a vehicle, including the type of claim and amount paid, and typically contains up to seven years of history. Motor Vehicle Reports (MVRs), obtained from state Departments of Motor Vehicles, reflect driving incidents and show driving history for periods ranging from three to ten years, depending on state regulations.

Homeowners insurance claims generally stay on record for five to seven years. The CLUE report for property claims, similar to its auto counterpart, records details of claims made on a property and usually retains data for up to seven years. Claims related to fire, water damage, or liability often remain on record longer due to their perceived higher risk. Health insurance claims are typically recorded for billing purposes and generally do not impact future property or auto insurance premiums.

Accessing and Reviewing Your Claim History

Understanding your insurance claim history begins with accessing the relevant reports that compile this information. These reports provide a detailed overview of past claims, which insurers use to assess risk and determine policy rates. Regularly reviewing these reports helps ensure accuracy and allows you to understand the data insurers consider.

A primary resource for claim history is the CLUE report, available through LexisNexis. Consumers are entitled to one free CLUE report for their home and vehicle each year under federal law. To request a report, visit the LexisNexis consumer portal online, call their automated line, or send an email or mail request. The report typically arrives within 15 days.

For auto insurance, a Motor Vehicle Report (MVR) provides details about your driving record, including accidents and violations. These reports are obtained from your state’s Department of Motor Vehicles (DMV) or equivalent agency. The process usually involves an online request, an in-person visit, or a mail-in application, and a small fee may be required. When reviewing these reports, check for the accuracy of dates, types of claims or incidents, and reported payout amounts.

Correcting Errors in Your Claim History

Discovering inaccuracies in your insurance claim history reports can be concerning, but a defined process exists for disputing and correcting erroneous information. Addressing these errors promptly is important, as they can influence your insurance premiums and coverage eligibility. The dispute process is designed to ensure the accuracy of your consumer reports.

If you find an error on your CLUE report, contact LexisNexis directly to initiate a dispute. LexisNexis is required to investigate the claim by contacting the insurance company that reported the information. The reporting company has 30 days to verify the accuracy of the data; if they fail to do so, the disputed information must be removed from your report. It is helpful to provide supporting documentation, such as police reports, repair invoices, or correspondence with your insurer, to strengthen your case.

For errors on your Motor Vehicle Report (MVR), the dispute process typically involves contacting your state’s Department of Motor Vehicles (DMV) or equivalent agency. You will generally need to submit a formal request for correction, often accompanied by documentation that proves the inaccuracy, such as official accident reports or court documents. If a dispute is not resolved to your satisfaction, you may also have the option to add a personal statement to your CLUE report, explaining your perspective on an entry.