Insurance is designed to protect you when something goes wrong. However, not every small repair or minor loss should automatically become an insurance claim.
Before filing a non-emergency home or auto claim, speak with your insurance agent. A short conversation can help you understand your deductible, review the estimated repair cost, and consider how the claim could affect your insurance history.
A Claim Can Become Part of Your Insurance History
Many people assume a claim only matters when the insurance company pays for the damage. However, once a loss is reported, it may become part of your claims history—even when the claim closes without payment.
Insurance companies may review previous claims when setting rates, deciding whether to offer coverage, renewing a policy, or determining eligibility for certain discounts.
One claim does not automatically mean your premium will increase or your policy will be canceled. However, several claims within a short period may affect your future insurance options.
Small Claims Deserve Careful Consideration
Imagine that a homeowner discovers water damage under a kitchen sink. Repairs are estimated at $1,500, and the policy has a $1,000 deductible.
Even if the damage is covered, the potential payment may only be around $500. The homeowner must decide whether that payment is worth adding a claim to their insurance history.
Before filing, consider:
- The estimated repair cost
- Your deductible
- The cause of the damage
- Whether additional damage may exist
- Your recent claims history
Your agent can help you review these details, although the insurance company’s claims department makes the final coverage decision.
A Brief Note About C.L.U.E. Reports
Home and auto claims may appear in an insurance-history database commonly called C.L.U.E. Insurance companies may review this information when pricing a policy or deciding whether to offer coverage.
This Does Not Mean You Should Avoid Legitimate Claims
Insurance exists to protect you from covered losses. You should not be afraid to use your policy when you experience serious damage, injuries, liability, or expenses that would be difficult to handle on your own.
A large fire, major water loss, serious collision, theft, or liability incident is very different from a repair that costs only slightly more than the deductible.
The goal is not to discourage claims. The goal is to help customers understand that reporting a claim can have consequences beyond the immediate payment.
Filing should be a deliberate and informed decision.
Be Clear When Asking a Question
When contacting your agent, explain that you are asking for guidance and are not yet requesting that a claim be filed.
You might say:
“I have a question about my coverage, but I am not asking to file a claim at this time.”
Your agent can help you understand your deductible, review your coverage, and discuss possible next steps. They cannot guarantee that a loss will be covered, but they can help you make a better-informed decision.
Call Tommy Thomsen Insurance Before You File
At Tommy Thomsen Insurance, we help customers understand their policies and options before making an important claims decision.
Before filing a smaller, non-emergency home or auto claim, call us at 801-982-7200.
A quick conversation may help you protect both your finances today and your insurance options in the future.
This article provides general information and is not a guarantee of coverage, claim payment, renewal, or premium changes. Decisions depend on the policy, circumstances of the loss, claims investigation, and insurance company guidelines.
