insurance

Claims History

A record of all insurance claims an individual or business has filed over a specific period, typically tracked by insurance companies to assess risk and determine premium rates. This history follows the policyholder across different insurance companies through industry databases.

Example

“When shopping for new auto insurance, Jennifer discovered her claims history showed three accidents in five years, which resulted in higher premium quotes from several companies.”

Memory Tip

Think 'Your Insurance Report Card' - Claims History follows you like a permanent record, showing insurers how 'risky' you've been in the past.

Why It Matters

Your claims history significantly impacts your insurance premiums and ability to obtain coverage. Insurance companies use this information to predict future claims risk, so maintaining a clean claims history can save you thousands of dollars over time in lower premiums.

Common Misconception

Many people believe their claims history resets when they switch insurance companies or that small claims don't matter. In reality, most claims stay on your record for 3-7 years and are shared among insurance companies, so even minor claims can affect your rates across the industry.

In Practice

Robert has filed four homeowner's claims in six years: two for hail damage ($8,000 and $12,000), one for a kitchen fire ($25,000), and one for theft ($3,500). When he tries to switch insurers, Company A quotes him 40% higher premiums due to his claims frequency, Company B declines to offer coverage entirely, and Company C offers coverage but excludes wind and hail damage for the first two years.

Etymology

Combines 'claims' with 'history' from the Greek 'historia' meaning 'inquiry' or 'record of past events,' reflecting the documented record of past insurance claims.

Common Misspellings

claim historyclaimes historyclaims histeryclaims historie

Related Terms

Risk Assessment underwriting

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