CUE and car insurance

The Claims and Underwriting Exchange (CUE) is as dull as it sounds – and frankly, there’s not a lot that can be said to make it any more appealing. But, like lots of other really boring things, CUE is actually pretty important. Because if you have a car insurance policy, then chances are CUE knows all about you and isn’t afraid to tell tales. So, what’s CUE got on you?

Looking for a Quote?

Compare car insurance in minutes to see if you can save

Get a quote

What is CUE and why does it exist?

CUE is a database; a massive one that holds around 34 million records relating to car, home and personal injury insurance claims. The information held includes all reported incidents, regardless of whether or not you actually make a claim. So, what’s the point of it, other than to serve as some sort of diary of mishaps and near misses?

Its point is to reduce fraud by allowing insurance providers to easily access information about incidents and claims. Having one single source of data means it’s harder to commit fraud and to ‘misrepresent’ your claims history. It’s not about catching people out – ultimately, it’s about keeping the cost of car insurance down for honest folk by reducing fraudulent claims. So, while CUE might not be your first choice for bedtime reading, it certainly holds some interesting stories and is there for our benefit.

How does CUE affect my car insurance?

Car insurance premiums take into account lots of different factors, such as your age, where you live and your claims history, as well as details about your car; but CUE plays a pretty important part too.

So, let’s say someone knocked off your wing mirror and it gets logged in CUE. Insurance providers will consider it more likely that you’ll make a claim compared to someone with no reported incidents. As a result, you might end up paying more for your car cover. If that sounds unfair then remember that insurance isn’t about right or wrong. It’s about risk and the higher it is (or is perceived to be), then the pricier the premium is likely to be.

Confession time

Of course, now you know about CUE, it would be tempting to not report any incidents at all – but that would mean non-disclosure. And non-disclosure is really bad. It’s the insurance equivalent of not being honest in a confessional and it could mean you invalidate your car insurance.

CUE only holds information about incidents you’ve declared, so there shouldn’t be anything on there that surprises you. But if you’re curious, then you can request to see the information held about you under the Data Protection Act. You’ll need to pay £101 and the details of how to make a request can be found here.

car insurance

CUE meets MyLicence 

CUE has been around since 1994, but there’s a new kid on the block that aims to bolster its work in combatting car insurance fraud. So, welcome MyLicence – a database that contains information on individual driving licences, such as penalty points, endorsements and entitlements.

MyLicence is pretty special as it links directly with the DVLA’s records to provide real-time information. Together, the two databases give insurance providers a complete picture of an individual’s driving and claims history.

If you think all this database malarkey sounds a bit Big Brother, then it’s worth knowing that insurance fraud costs every policy holder up to £50 each year. And as car insurance prices have reached record highs, any saving is welcome.

But it’s not just about saving money. Having information in a central system makes life easier for everyone – insurance providers and us. It means we don’t have to rely on our memories when it comes to confession time (because there is such a thing as genuine forgetfulness) and insurance providers don’t have to ask us 101 questions every time we renew our car insurance.

Good price and value – the best of both worlds

Let’s be honest, car insurance is expensive enough without databases like CUE filling in the gaps for insurance providers. But, like it or not, it’s here to stay. Of course, there are ways and means of lowering the cost of your premium, such as increasing your voluntary excess, choosing your car wisely and adding a named driver to your policy.

But if you’ve been there and done all that, then there’s one other thing left to do – and that’s search with us and So, why not be like 50% of our customers who could have saved up to £261 when they compared quotes with us. And if you’re really lucky, you might join the top 10% who could have saved up to £1,440.

Current fee as at 20 June 2017

2 Based on Online independent research by Consumer Intelligence during November 2018. 50% of consumers could achieve this saving with Compare the Market Motor Insurance. 

3 Based on Online independent research by Consumer Intelligence during November 2018. 10% of customers could save up to £1,440 on their car insurance premium.

Looking for a Quote?

Compare car insurance in minutes to see if you can save

Get a quote