Dispute a CLUE Report: Step-by-Step Guide

If you are facing insurance difficulties due to inaccurate information on your Comprehensive Loss Underwriting Exchange (CLUE) report, don’t worry. Disputing a CLUE report is possible by understanding your rights, gathering documentation, and persisting. This guide walks you through the process. First, obtain your CLUE report from LexisNexis Risk Solutions. Next, review it carefully, gather supporting documentation, and file a dispute. Finally, follow up and escalate if necessary.

Understanding CLUE Reports and Why They Matter

A CLUE report is like a credit report for your property’s insurance history. Insurers use it to assess risk and determine premiums. It compiles up to seven years of claims data, including the date of loss, type of loss, and amount paid. A negative entry, even if the claim was denied, can significantly impact your ability to obtain affordable insurance. Remember that separate CLUE reports exist for personal auto and property.

Step-by-Step Guide to Disputing a CLUE Report

Here’s a detailed breakdown of each step:

1. Obtain Your CLUE Report

You are entitled to one free CLUE report per year from LexisNexis Risk Solutions. Request it online, by phone, or by mail.

• Online: Visit the LexisNexis website (LexisNexis Consumer Center).

• Phone: Call the LexisNexis Consumer Center at 1-888-497-0011.

• Mail: Send a written request including your name, address, phone number, and property address to:

  LexisNexis Risk Solutions Consumer Center P.O. Box 105295 Atlanta, GA 30348-5295

2. Review Your CLUE Report Meticulously

Once you receive your CLUE report, carefully examine each entry. Look for:

• Incorrect Dates: Verify that the dates of loss are accurate.
• Inaccurate Loss Types: Ensure the type of loss (e.g., water damage, fire) is correctly reported.
• Erroneous Claim Amounts: Check if the amount paid by the insurance company matches your records.
• Losses Not Associated with Your Property: This is crucial if you recently purchased the property.
• Duplicate Entries: Sometimes, the same claim can be listed multiple times.
• Claims Filed Without Your Knowledge: This could indicate fraud.
• Misleading Information: This is less about factual errors and more about entries that, while technically correct, paint an unfair picture. For example, multiple inquiries about coverage after a storm could be mistaken for multiple claims.

3. Gather Supporting Documentation

This is the most critical step. You need solid evidence to back up your dispute. Here are some examples of documentation you might need:

• Insurance Policies: Your current and previous insurance policies.
• Claim Documents: Any paperwork related to the disputed claim, including denial letters, settlement agreements, and repair estimates.
• Proof of Ownership: Deed, purchase agreement, or property tax records to prove you own (or didn’t own) the property at the time of the loss.
• Inspection Reports: If you had a home inspection that contradicts the CLUE report.
• Contractor Invoices: Receipts and invoices for repairs.
• Police Reports: If the loss was due to theft or vandalism.
• Affidavits: Sworn statements from contractors, neighbors, or other relevant parties who can corroborate your claims. For instance, a neighbor confirming that the water damage was localized to the adjacent property, not yours.

4. File a Dispute with LexisNexis

Once you have gathered your documentation, you can file a dispute with LexisNexis. It is generally recommended to file your dispute in writing. This creates a paper trail.

• Prepare a Dispute Letter: Clearly state the specific inaccuracies you are disputing and explain why you believe they are incorrect. Be concise and factual. Reference the CLUE report entry by date and claim number, if applicable. Attach copies of your supporting documentation – never send originals.

• Submit Your Dispute: Mail your dispute letter and documentation to:

  LexisNexis Risk Solutions Consumer Center P.O. Box 105295 Atlanta, GA 30348-5295

  You can also submit your dispute online through their consumer website, but mailing often yields better results in my opinion.

5. Follow Up and Escalate if Necessary

LexisNexis is required to investigate your dispute within 30 days. They will contact the insurance company that reported the information to verify its accuracy.

• Track Your Dispute: Keep a record of your dispute letter and all communication with LexisNexis.
• Review the Results: Once the investigation is complete, LexisNexis will send you a written notification of the results. If they agree with your dispute, they will correct your CLUE report.
• If the Dispute is Unsuccessful: If LexisNexis upholds the accuracy of the CLUE report, you have the right to add a consumer statement to your report. This is a brief explanation (usually 100 words or less) of your perspective on the disputed information. While it doesn’t change the information on the report, it allows you to provide context for potential insurers. You can also consider contacting the insurance company that reported the information directly to try and resolve the issue with them. And finally, you can consult with an attorney specializing in insurance disputes.

Potential Challenges and Strategies

• Unresponsive Insurance Company: Sometimes, the insurance company may not respond to LexisNexis’s inquiries. In this case, you might need to contact the insurance company directly and pressure them to investigate.
• Burden of Proof: The burden of proof is on you to demonstrate that the information in the CLUE report is inaccurate. This is why gathering strong documentation is so important.
• Time Sensitivity: The longer it takes to resolve the dispute, the more difficult it may become to secure insurance. Act promptly and follow up regularly.
• Impact on Premiums: Even if you successfully dispute a CLUE report, it may not completely eliminate the impact on your insurance premiums. Insurers may still consider the underlying incident, even if it’s not listed as a claim.

Cost Considerations

My Experience & Quick Fix

I was planning a small home renovation and looking for insurance quotes. Then, a denial letter arrived citing a ‘previous property loss’ I knew nothing about. That’s when I realized I had a problem: a potentially inaccurate CLUE report.

In my case, the CLUE report listed a water damage claim from before I owned the property. The insurance company had mistakenly associated the claim with the wrong address.

My Quick Fix:

1. I contacted the insurance company directly and spoke to a supervisor.
2. I provided them with my deed and a copy of the old owner’s insurance policy (which I tracked down through the title company).
3. After a week of back-and-forth, they admitted their error and sent a correction to LexisNexis.
4. I followed up with LexisNexis to ensure the correction was made and received a revised CLUE report.

The whole process took about 3 weeks, but it was worth it to get the inaccurate claim removed. The key was directly contacting the source of the error and providing irrefutable proof.

Additional Tips

• Keep Detailed Records: Maintain a file with all correspondence, documents, and phone call logs related to the dispute.
• Be Persistent: Don’t give up easily. If you believe the information is inaccurate, keep pursuing the dispute until you reach a resolution.
• Consider Consulting an Attorney: If you are facing significant difficulty or suspect fraud, consider consulting with an attorney specializing in insurance disputes. They can provide legal advice and represent you in negotiations with the insurance company and LexisNexis.
• Check Your CLUE Report Regularly: Even if you haven’t experienced any issues, it’s a good idea to check your CLUE report annually to ensure its accuracy. This can help you identify and correct any errors before they impact your insurance rates or coverage.
• Understand State Laws: Some states have specific laws regarding CLUE reports and consumer rights. Familiarize yourself with the laws in your state to ensure you are protected.

Disputing a CLUE report can be a time-consuming and frustrating process, but it’s essential if you believe the information is inaccurate. By following the steps outlined in this guide, gathering supporting documentation, and being persistent, you can increase your chances of successfully correcting your CLUE report and securing the insurance coverage you deserve. Good luck!

Frequently Asked Questions

How often can I get a free CLUE report?

You are entitled to one free CLUE report per year from LexisNexis Risk Solutions. You can request it online, by phone, or by mail.

What kind of documentation do I need to dispute a CLUE report?

You’ll need documentation that supports your claim that the information on the CLUE report is inaccurate. Examples include insurance policies, claim documents, proof of ownership, inspection reports, contractor invoices, police reports, and affidavits.

How long does LexisNexis have to investigate my dispute?

LexisNexis is required to investigate your dispute within 30 days. They will contact the insurance company that reported the information to verify its accuracy.

What if LexisNexis doesn’t agree with my dispute?

If LexisNexis upholds the accuracy of the CLUE report, you have the right to add a consumer statement to your report. You can also contact the insurance company directly or consult with an attorney.