Clue Reports Explained: Your Home's Damage Claim History

A CLUE report, which stands for Comprehensive Loss Underwriting Exchange, is a database record of insurance claims made on a property. It shows the date of each claim, the type of loss, such as water damage or mold, and the amount paid by the insurer. You might see claims from the current owner or previous ones.

This report is not a public record like a deed. It is created by LexisNexis Risk Solutions, which gathers data from insurance companies. When you apply for homeowners insurance, the insurer checks this report to assess risk. You have the right to request your own report once a year.

• Date of each claim
• Type of loss, such as water or fire
• Amount paid by the insurer
• Policyholder name and address
• Status of the claim, open or closed

Before you buy a home, you want to know what damage it has had. A CLUE report can reveal past water damage from a flood or mold growth that you might not see in a walkthrough. If a previous owner filed a claim for a leaky roof, you know to inspect that area closely.

In a humid subtropical climate with hot rainy summers and an Atlantic hurricane season, water damage is a real concern. If you live in such a region, you might want to check the report before making an offer. A clean report gives you peace of mind, while a history of claims helps you negotiate.

If your CLUE report shows past water damage, you are not stuck. You can take steps to reduce future risk, like fixing plumbing issues or installing a backup water alarm. Document any repairs you make, as that might help with future insurance applications. A clean record going forward can improve your chances.

If you are buying a home with a history of claims, you might ask the seller to make repairs or lower the price. You can also talk to your insurance agent about your options. For homes with complex damage, consider a professional water damage inspection to understand the full scope. That can guide your next steps.