• psst … I’m a Realtor! Thanks for stopping by my website. I would love to help you find your dream home and community in the Hampton Roads or Williamsburg area or to sell your existing home. This website is authored by local resident and REALTOR, John Womeldorf. John is known around town as Mr. Williamsburg, for both his extensive knowledge of Hampton Roads and the historic triangle, and his expertise in the local real estate market. His websites, WilliamsburgsRealEstate.com and Mr Williamsburg.com were created as a resource for folks who are exploring a move to Williamsburg, VA , Hampton Roads VA and the surrounding areas of the Virginia Peninsula. On his website you can search homes for sale , foreclosures, 55+ active adult communities, condos and town homes , land and commercial property for sale in Williamsburg, Yorktown, New Kent, Poquoson, and Gloucester, VA as well as surrounding markets of Carrolton, Chesapeake,Gloucester, Hampton, Isle of Wight, Portsmouth Mathews, Newport News Norfolk, Poquoson, Smithfield, , Suffolk, Surry, Va Beach, Yorktown and York County Virginia You can reach John by email John@MrWilliamsburg.com or phone @ 757-254-813

Does the home seller have a CLUE ?

Have you ever heard of a CLUE report ? me neither. Who knew there was a central database where all insurance claim history is kept on both homes, individuals and their personal property.

 We recently explored insurance topics in an advanced training session at our office. One of the main topics we explored was the advent of C.L.U.E. reports (C.L.U.E. stands for comprehensive loss underwriting exchange).  The C.L.U.E. ®Personal Property report provides a seven year history of losses associated with an individual and his/her personal property. The following data will be identified for each loss: date of loss, loss type, and amount paid along with general information such as policy number, claim number and insurance company name.

What information does the C.L.U.E. Personal Property report provide?

The report is divided into two areas:

  • losses reported on the risk (property that you own), and
  • losses reported on the subject (you).

    The losses for your house appear in the Claims History for Risk area of the report. Any losses reported for the property during the past 7 years, whether you owned it then or not, will appear in that area. If no losses appear, no losses were reported. Losses reported by insurance companies at addresses other than the risk address appear in the Claims History for Subject section of the report.

    As a home seller, you can purchase a C.L.U.E. report and share it with prospective buyers for additional peace of mind.  Insurance companies use C.L.U.E. reports to evaluate potential risk as part of their underwriting process.  For instance, a property that has suffered a major water related claim (such as a leaking water heater) may be at increased risk for mold issues down the road.

    If you are purchasing  a home you could ask the seller to provide a C.L.U.E report to verify any claims filed on the home in the past five  If the CLUE report for the property indicates that insurance losses have not occurred within the past five years, a buyer  can feel comfortable that insurance loss history of the property should not impact the availability or pricing of Homeowners insurance.

    FAQ abourt C.L.U.E.?

    C.L.U.E. (Comprehensive Loss Underwriting Exchange) is a claims history database created by ChoicePoint that enables insurance companies to access consumer claims information when they are underwriting or rating an insurance policy.

    How long is loss history kept in the C.L.U.E. database?

    The database contains up to 7 years of personal property claims history.

    Who contributes to the C.L.U.E. database?

    Only insurance companies that subscribe to C.L.U.E. can submit loss data and access C.L.U.E. reports. Consumers can access C.L.U.E. reports on themselves and their own properties.

    Some companies choose not to subscribe to C.L.U.E. Losses filed with nonparticipating companies will not appear on a C.L.U.E. report.

    How do insurers use C.L.U.E. reports?

    C.L.U.E. reports are used almost exclusively to underwrite and rate new policies. Most insurers renewing existing policies do not access C.L.U.E. reports at renewal, largely because they already have loss histories for these properties in their own database.

    How did insurers obtain this information before C.L.U.E. was created?

    Insurers have always utilized loss histories as a primary underwriting and rating factor for homeowner’s insurance policies. Prior to C.L.U.E., insurers considering an application to write a new policy on an existing home obtained property loss histories in various ways: searching public records, requesting information from the applicant, and requesting information from the insurer currently writing the coverage for the property.

    Who has access to C.L.U.E.?

    Insurance companies that contribute loss data to C.L.U.E. can withdraw information from the exchange. In addition, some insurance agents, with the authority of the company they represent, can withdraw data.

    Can I order a C.L.U.E. report on property I want to purchase?

    No. Under the federal Fair Credit Reporting Act, C.L.U.E. reports can only be accessed by the owner, insurer or lender for the property. However, you can request that the current owner of the property order a C.L.U.E. report.

    How can I obtain a copy of my C.L.U.E. report?

    Under the federal Fair Credit Reporting Act you can request a copy of your C.L.U.E. report from ChoicePoint Consumer Disclosure, P.O. Box 105108, Atlanta, Georgia 30348-5108, or call toll free 1-866-527-2600.

    Can C.L.U.E. reports distinguish between an inquiry and a claim?

    C.L.U.E. reports indicate losses by type. Consumers should be aware that contacting their company or their agent to discuss an actual loss might be considered reporting a claim, even if the company does not end up making a claim payment. This is because when a loss occurs, the policy requires the company to take specific actions within specified time frames. Consumers should be specific as to whether they are filing a claim or only making an inquiry.

    For instance, a consumer may contact his/her agent to report an event, such as a broken water pipe and to determine the extent of coverage in order to decide whether or not to go forward with the claims process with the company. The insurer might not indemnify the consumer for this loss for a variety of reasons; the amount of damage may be below the deductible; the consumer may decide to pay for the damage, or there may be no coverage for such a loss under the terms of the policy.

    If the consumer filed an actual claim and the insurer made no loss payment on this claim, this information would be recorded by the company and may appear on a C.L.U.E. report.

    An inquiry is generally regarded as a call by a consumer to a company representative or agent to discuss terms of coverage including the extent of coverage on a specific loss. Many insurers are working on ways to inform their policyholders about the important distinction between a claim and an inquiry.

    Can an insurance company use loss history from the prior owner of a home in determining my eligibility to get insurance on the home?

    If a company can show a relationship between the prior owner’s loss and the probability of a future loss to the home, they may use the information. There are no laws that specifically govern the use of the prior owner’s loss history in determining your eligibility for coverage.

    For more information, visit www.choicetrust.com.  Or, email me for a recommendation in the Williamsburg or Hampton Roads area of a knowledgeable insurance agent who can answer any of your insurance related questions !

     

    Explore more FAQ about CLUE reports here