Is the auto-insurance claim information shared if I switch the insurance company?

Question

Hi!

I am with auto-insurance company X right now and due to few number of insurance claims that I had made, my insurance is going up. I am wondering if I try to switch to some company Y, will X share my claims information with Y?

Thanks!

Answer 1

Most of the time, yes they will find those prior claims.

Many insurance companies participate in a national database that tracks claims. They will also check you MVR records of any tickets or accidents. It is very difficult to slip one past an insurance company.

Fraudulently stating fewer claims than you actually have is not a good idea. If you filed another claim and the prior ones were discovered, they could deny the new claim, back charge you a higher rate, and/or cancel the policy on the spot.

Because your rate went up due to the claims, it's not a bad idea to shop around, just make sure they are rating you with knowledge of those prior claims.

Answer 2

Your driving record (including accidents, tickets and filed claims) is public knowledge and is kept on a database through your state.  Most states use the same database so that your driving record is basically public knowledge.

While Insurance company Y doesn't get information directly from Insurance company X, all they have to do is look up on the database to find all of your tickets, claims and accidents.

Basically, you shouldn't lie on your application because you won't get away with it.

Answer 3

THE ANSWER IS YES!!!!!  99% of all insurance carriers report to a service similar to a credit bureau. Then all the other companies can pull your DRIVING RECORD which is what the DMV has on record for you and a CLUE REPORT which is a record of claims and accidents (shows everything from major accidents down to towing and rental claims).  I hope this helps.

Answer 4

Of course!  One of the questions in the applicationt that must be answered truthfully is  similar wording to "please list all accidents you have been involved in as a driver, whether at fault or not, in the last #x years".  They also ask for the approximate amount of any claim associated with the accidents.   Some companies want 3 years, some 5, and they do check.  If they issue a policy immediately based on falsed information, you would receive a registered letter within days, possibly cancelling it, or increasing premiums substantially.  In my office, sometimes I would fax an application and receive a phonce call back within half an hour asking why a certain accident hadn't been declared by the applicant.

Answer 5

the auto-insurance claim information shared if I switch the insurance company

Answer 6

yes they will find it.  when you get a quote they may not run your reports so its up to you to be honest about any points or accidents on your record.  if you dont tell them they WILL run your records when the policy is issued and then your premium will be higher than the quote and they have the right to cancel the policy with notice. its probably better for you to wait until your record is clean again before you switch

Answer 7

Yes.  Most insurance companies subscribe to a service called "CLUE".  It's basically a data bank where companies share claim information with each other.

Most companies will order a "CLUE" report before issuing your policy and find out that you have had previous claims.  It is always a good practice to go ahead disclose this information up front, if not the rate that you are quoted will not be accurate.

I would suggest getting as many quotes as possible!  

Because rates vary hundreds of dollars with companies you might be surprised to find out that by comparison shopping your maybe able to get insurance through another company without seeing a huge increase.

As mentioned already the key is to getting as many quotes as possible.  The easiest way to do this is by using free on line insurance rating services.  I read a statistic that people who use these services usually save an average of 30%-40%.  If that holds true for you then it basically you would most likely be able to keep your rates close to what you are currently paying.

There is a consumer site that I came across at: http://www.InsuranceEasy.org that has links to free quoting services that are reliable.  By using each of the links listed on their auto insurance page you will end up with the 5 or 6 best quotes from hundreds of companies.

Hope this helps!