Imagine you’ve found your dream home. The price is right, the neighborhood is perfect, and everything looks great on the surface. But what if there’s more to the story? What if that charming house has a history of costly water damage, roof issues, or even fire damage? This is where a loss history report comes in—it’s like a property’s report card for past insurance claims.
What’s in a Loss History Report?
A loss history report provides a record of insurance claims filed on a property, typically over the past five to seven years. This report includes:
- Claim Details – Dates of past claims, type of loss (e.g., fire, water damage, theft), amount paid, and current claim status.
- Policy Information – Details of the insurance policies under which the claims were filed.
- Property Information – The home’s address, and for auto claims, vehicle details.
Insurance companies rely on these reports to assess risk when underwriting a new policy. If a home has a history of frequent claims, insurers may see it as high-risk, which can lead to higher premiums—or even difficulty securing coverage.
Why Should Homebuyers and Homeowners Care?
A loss history report isn’t just for insurance companies—it’s an essential tool for homeowners and homebuyers too.
- For Homebuyers: Knowing a home’s claim history can uncover hidden risks. A property with multiple water damage claims might have ongoing plumbing issues. If a house has been through a major fire, you may want to inspect for lingering structural damage. This report gives you a clearer picture before making one of the biggest investments of your life.
- For Homeowners: If you’re shopping for home insurance, your past claims—along with claims from previous owners—can impact your rates. Even if you’ve never filed a claim, a home’s history can still affect what you’ll pay for coverage.
How to Get a Copy of Your Loss History Report
- For Homeowners: You’re entitled to one free copy of your loss history report per year. The most common report is the Comprehensive Loss Underwriting Exchange (C.L.U.E.) report, managed by LexisNexis. You can request your C.L.U.E. report directly from LexisNexis.
- For Homebuyers: You can’t request a loss history report for a home you don’t own, but you can ask the seller to provide it. Many real estate transactions include this as part of the disclosure process. If the seller is hesitant, that might be a red flag.
How Loss History Affects Your Insurance Rates
Insurance companies use loss history reports to gauge risk. If a property has multiple claims, it might lead to:
- Higher premiums – Frequent past claims signal higher risk.
- Limited coverage options – Some insurers may decline to cover homes with extensive claims histories.
- Potential delays in securing coverage – If a home’s claims history raises red flags, you might need to shop around for a specialized insurer.
But here’s the flip side: If a home has a clean loss history, insurers may offer better rates.
What If Your Report Has Errors?
Like any report, mistakes can happen. If you spot incorrect claims or details that don’t belong to your property, take action:
- Contact LexisNexis – You can dispute inaccuracies directly through their consumer portal.
- Provide Evidence – If you never filed a claim or the details are wrong, gather supporting documents to correct the record.
- Follow Up – Changes won’t happen overnight, so stay on top of the process.
How TGS Insurance Agency Can Help
At TGS Insurance Agency, we know how frustrating it can be when insurance rates don’t seem to add up. Whether you’re a homebuyer trying to uncover a property’s history, a homeowner dealing with a loss history report surprise, or simply looking for the best coverage, we’re here to help.
Our team specializes in finding the right policies for your home—no matter its past. We’ll walk you through your options, explain how your loss history report affects your premiums, and make sure you’re getting the coverage you need at the best possible price.
Let’s make insurance simple. Contact TGS Insurance Agency today and get the homeowners insurance policy that fits your needs—without the hassle.