Do previous claims affect home insurance premiums?

Find out the impact claiming can have on the cost of your home insurance

Eve Powell
Eve Powell
Updated 3 May 2023  | 3 mins read
Reviewed by Jasmine Hembury

Do previous claims increase the cost of your home insurance?

Yes, if you’ve made a recent claim on your home insurance it’ll almost certainly increase your premium when you renew your cover.

The more claims you make, the more your premiums will go up because insurers will see you as a higher risk. However, other factors can bump up the price too.

For example, if insurers have dealt with a lot of weather-related claims during the year, this can push up everyone’s premiums. And if you’ve had a change of address, your new home and its postcode could also affect the price of your policy.

But generally, people with fewer or no claims tend to pay less for their home insurance. So always weigh up whether it’s worth making a claim.

Key points

  • Making a home insurance claim is likely to increase future premiums because insurers will see you as a higher risk.
  • You should declare any previous claims when you’re applying for home insurance. Failure to do so could invalidate your policy.
  • Your claims history is stored on the Claims and Underwriting Exchange (CUE) database for six years.

How much does home insurance go up after a claim?

This really depends on the amount you’re claiming and what it’s for. Minor claims, like those for a one-off accidental breakage, might not have too much of an impact.

But it’s a different matter if there’s damage to your home that requires complex repairs or costly replacements. And if a claim raises questions about your home’s security or highlights a potential ongoing problem, like flooding - this could cause a steep rise in your premiums.

Do you have to tell insurers about previous claims?

Yes, it’s important to be open and honest when you’re applying for home insurance. If you’re not, you risk invalidating your policy which can mean any claim you make could be rejected.

Do home insurance companies check for previous claims?

If you’ve made a claim recently, insurers automatically consider you more likely to make another one in the future. So they often check your claims history when they calculate your quote.

Insurers are also likely to check their records when you make a claim. If the information you previously disclosed about your insurance history is incorrect, they’re less likely to pay out.

Do home insurance companies share claims history?

Most insurers share information using the Claims and Underwriting Exchange (CUE) - a central database of incidents reported to insurance companies, whether they resulted in a claim or not.

This information helps insurers to reduce the number of payouts they make for false claims. And it also helps them work out the right price for your insurance.

If you’ve made a lot of claims in a short space of time, or have recently made a high-value claim, you may struggle to get cover with standard insurers or will be quoted a lot more for a policy.

And if insurers see from CUE that you haven’t fully disclosed your claims history - or been truthful with the information you provided in your application - they’ll reject your claim.

How can I check my home insurance claims history?

A quick and easy place to start is to ask your current or past insurer. They should be able to give you a breakdown of your claims history.

Another option is to find out what information is held about you on the CUE database by filling out a subject access request form from The Motor Insurers’ Bureau (MIB).

MIB requests can take up to a month to be processed so if you need the information quickly, contacting your insurer is likely to be your best option.

Is there an insurance database for home insurance?

Yes, CUE is a central database that contains information on incidents that have been reported to insurers.

And it doesn’t just cover home insurance. It also holds information from insurers on incidents related to car insurance and personal injuries.

What happens if an incident is reported but I don’t make a claim?

If you tell your insurer about an incident that’s happened at home, like a burglary or breakage, but later decide not to make a claim - it will still be recorded.

Depending on the nature of the incident, insurers may or may not take this into account when working out what premiums you’ll need to pay.

What about claims that weren’t my fault?

Generally, when it comes to home insurance, most payouts are for claims that weren’t the policyholder’s fault.

This is because if you’re found to be at fault for an incident, your claim is likely to be rejected.

So, even if the claim wasn’t your fault, it’ll still be logged on your claim history records.

How long do home insurance claims stay on record?

To give insurers an accurate picture of your insurance past, your claims history is stored on the CUE database for six years.

This might seem like a long time. But collecting this information helps insurers to give fair quotes and keep premiums down by reducing the number of payouts for false claims.