Home insurance with previous claims

Some insurers will up the price of your premium considerably after a claim. Others may only increase costs slightly, while some could refuse to offer you a new policy. It depends on the provider you choose, alongside several other factors.

Providers will typically consider the severity of the claim, the causes, whether it was a natural issue (such as flooding), and your claims history—especially for a similar issue.

In addition, if a claim indicates that your home isn’t secure, or you have potential problems at your property, it could cause insurance companies to increase the cost of your policy.

Generally, it is the premium that you pay which will be impacted following a claim. However, insurers consider numerous criteria when offering you cover, and if they notice suspicious activity or repeated claims, they could impose specific terms or refuse your insurance.

Many insurers use the Claims and Underwriting Exchange (CUE) database to assess your claims history and determine your risk. The CUE database includes records of all reported incidents, whether or not a claim was submitted. So, if you reported a theft incident at your property, but didn’t submit a claim for the stolen items, the incident will still be recorded on the home insurance claim history database.

If a provider sees that you’ve failed to disclose important details relating to an incident, or haven’t disclosed the incident at all, they will likely refuse your policy.

Claims are stored on the home insurance claim history database (CUE database) for six years. This includes different types of insurance claims and incidents, not just those relating to home insurance. If you’ve made any car or personal incident insurance claims, they’ll also be on this record. You can request your claims history from your current insurance provider.

Unfortunately, yes. Insurers use the CUE and other supplied information to assess your current position and risk. If they feel you’re too high risk, or there’s suspicious activity, they reserve the right to refuse your policy renewal or new insurance.

However, it’s not the same for all companies, which is why it’s important to shop around for personal home insurance. Although one insurer might refuse you, you could find another home insurance provider who will provide you cover.

Whether you need standard home cover or high net worth home insurance, you can still get insurance with a claims history. Honesty is always the best policy, so be upfront with providers about previous claims and incidents.

Insurers are usually understanding, and you may be able to negotiate a better deal, either with less cover or increased excess for a lower premium cost.

Remember, if you fail to disclose some information (or an entire claim), you could be refused insurance.

Yes. Your insurer will have copies of your previous claims, so you can contact them to check your history. You may also need to do this to share your claims history with a new insurer.

Claims still need to be recorded regardless of whether you were at fault. They will appear on your claims history. If you say you weren’t responsible for the incident, but are later found to be at fault, you can be rejected for insurance. For example, if you leave taps running and experience an internal flood, or leave doors unlocked and are burgled.

An adverse claims history, is typically where multiple, or a large number of claims have been made. If you’ve also submitted a few claims with high values, these can also count as adverse. Insurers’ terms and conditions may differ, so it’s worth checking what they consider to be adverse before you try to take out insurance. Some providers may consider more than five claims in six months adverse, while others may allow more frequent claims.

If you’ve claimed for floods before, or your home is an area considered at risk of flooding, it’s worthwhile taking extra precautions to protect your property. You’ll likely see a steep rise in insurance costs, but there are a few things to do to lower your premium. Consider installing flood prevention systems or taking steps to reduce flooding impact, such as keeping electrical items higher off the ground and moving sockets further up walls.

Burglary claims can be costly, so it’s worthwhile installing adequate home security to prevent theft and damage. Consider security systems such as gates, CCTV cameras, and locks on all doors and windows. If you can provide evidence of these measures to an insurer, they may lower the cost of your premium.