I started a claim but canceled it with no payout. Why is it on my CLUE report?

As I stated, nothing at all was done on a claim I started, just conversation. But when I bought coverage through State Farm, my pro-rated check was sent back, saying even though there was 0 payout and claim closed they could not insure me for 3 yrs. I paid for the repair and ungraded the patio door, I should think State Farm would be happy that I have made an upgrade to my home that is stronger and less likely to cause a legitimate claim in the future. A claim number only does not constitute a legitimate claim in my mind especially when nothing was done, why is it on my record?

Unfortunately, if you start the claims process, the insurance company can list it on your CLUE report through LexisNexis which contains your claims history — even if there was no payout or resolution. You can dispute with State Farm to see if they will remove it, but at this point, that is really the only option which is definitely frustrating. I recommend shopping around for a new homeowners policy. Best of luck, and if you have any further questions, don't hesitate to ask.