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How does the CUE affect your car insurance?

The Claims and Underwriting Exchange (CUE) is a central database containing over 34 million records of incidents reported to insurers. But what has it got to do with you and your car insurance? We reveal all in this guide.

What is the CUE?

CUE is managed by Insurance Database Services Limited (IDSL), a not-for-profit company. It holds information about every reported incident, whether you claimed or not. It doesn’t just cover car incidents either, it covers incidents in the home and personal injuries.

The CUE is used by insurers to confirm that what you’ve said about your claims history is correct and to reduce the chances of fraud being committed. This helps not only the insurers, but you, too, if you’ve accidentally forgotten to disclose something important. It can reduce the number of questions insurers have to ask, as often the information they require is covered in your CUE records.  

Some of the records in the CUE can be very minor, such as a broken indicator light. If you’d like to find out what your CUE records say, you can make a data access request for £10. However, it’s worth bearing in mind that not all insurers subscribe to CUE and, therefore, not all claims or incidents are recorded.

How will CUE affect my car insurance?

When you apply for a car insurance policy, the insurer considers several factors when deciding how much you should pay. These include any claims and incidents that have occurred, how many years no claims discount you have, the car insurance group[1] of your car, the type of cover you want, if you have any points on your licence and the crime rate of the area where you live.

What happens if I don’t report an incident?

It’s important that you report all incidents, even though this could mean that you have to pay more for your car insurance in the future. If you don’t, this would be classed as ‘non-disclosure’ and could invalidate your car insurance policy.

What is MyLicence?

MyLicence is another database used by insurers to confirm the details you have supplied. It is linked to the DVLA records, so it provides insurers with instant information on your driving and claims record. You can view your driving licence information by clicking here >

The information held by MyLicence also helps prevent fraud, which is good news for everyone, considering fraudulent claims currently make up around 10% of all claims, costing £400m and driving up the price honest drivers have to pay for their policies[2].

To get a quote for Rias car insurance, please click here >