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Does House Insurance Claims follow you when you Move or change companies?

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  • Oct 21st, 2020 10:23 am
[OP]
Deal Addict
Jun 24, 2015
4043 posts
1173 upvotes
Woodbridge, ON

Does House Insurance Claims follow you when you Move or change companies?

I have a few house insurance claims on my property caused by a storm we had 2 years ago. If I move to a New House which I am thinking about, does the claim follow me? I could not get a clear answer from my insurance they just said my premiums will be affected for 3 years if i have a claim and yes they def went up for something that was beyond my control
Hi
8 replies
Deal Addict
User avatar
Dec 4, 2009
4536 posts
1068 upvotes
I think when you apply you're asked if you've ever had a claim. Soni would guess, yes, it follows you around. Otherwise lots of people would jump from provider to provider making bogus claims.
"I'm a bit upset. I've been grab by the back without any alert and lubrification"
Lucky
[OP]
Deal Addict
Jun 24, 2015
4043 posts
1173 upvotes
Woodbridge, ON
well the good news is they never asked me, so i guess im good?
Hi
Deal Fanatic
Jan 25, 2007
9176 posts
4707 upvotes
Paris
GoodFellaz wrote: well the good news is they never asked me, so i guess im good?
They have a system this stuff gets entered into. 100% it followed you.
Deal Addict
User avatar
Dec 12, 2006
4335 posts
554 upvotes
Messed Up Area
It doesn't follow you per say.

When you have made a claim or inquired about a flood in basement and decide not to make a claim documentation is stored in a database. 1 year later you claim mold or other issue in basement as you never fixed up properly as you thought you could do cheaper, claim denied when they pull up your record as its an open claim that was never fixed, new claim won't cover it.

Now when you shop insurance 95% of time new companies do not look at database, so your quote is low. You make new claim they pull up your database and see you have a claim you never mentioned. They can deny coverage for claim or cancell you right away and now you have a new record on database that your insurance was cancelled and your rates go up big time.

This is why when shopping insurance they ask these types of questions, as if you report claim,, they may look farther and open database and see your true claim history to determine rate or if they will cover you.
[OP]
Deal Addict
Jun 24, 2015
4043 posts
1173 upvotes
Woodbridge, ON
how long till they cant rate you for the past claim? is it 3 years?
Hi
Deal Addict
Jan 21, 2018
3709 posts
3791 upvotes
Vancouver
GoodFellaz wrote: how long till they cant rate you for the past claim? is it 3 years?
There is a central registry operated by the insurance industry to keep track of your claims history. Doesn't matter if they ask you or not, they will consult it. If you lie on your application, that would be a reason to deny you coverage if you ever had a major claim, so don't do that.

The period for which a claim affects your insurance is 5 years. Generally one claim is ok, but for two in 5 years you will be slammed with a major price increase. They don't care that it was random chance and it wasn't your fault. The insurance industry follows the philosophy of "correlation is more reliable than causation", i.e., if you have had multiple claims, it is more likely that you will have another, regardless of the cause. This is the same flawed statistical approach that causes gamblers to think that they can have a hot run in a game of chance.
[OP]
Deal Addict
Jun 24, 2015
4043 posts
1173 upvotes
Woodbridge, ON
well my last claim was 3.5 years ago, and i have not had any claims since, plus i had to switch companies to amalgamate my auto and home insurance under one bill / one company.
Hi

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