If you’re a collector – whether it’s fine art, baseball cards, or anything in-between – protecting your collection is likely one of your top priorities, especially against financial loss. That’s where a collectibles insurance policy comes in. These specialty policies are specifically designed to protect your collection, and ensure that if anything happens to it, you’ll be reimbursed.
Since a lot of people don’t know about these policies, we’ve put together a quick list of the top three things collectors should know about collectibles insurance!
- Collectibles Insurance Covers More Than Homeowners Insurance
One thing people often ask us is why they need collectible insurance at all, when their homeowner’s policy ostensibly covers their belongings. Well, it’s quite simple: A homeowner’s policy will only pay out the cash value of equivalent replacement items, not their collectible value. They may also charge a premium to replace truly rare or unique items.
Collectibles insurance avoids this, allowing the collection to be valued at the price you set. In case of disaster, you’re covered for their full value, not simply replacement costs.
- No Formal Appraisal Is Required
Even if your collection has never been formally appraised, it can still be insured for the value you believe it to hold, All you really need to cover your collections is a full list of what’s covered, including a description of the security systems protecting them, as well as their history with you.Individual items valued at more than $5,000 each will need to be itemized individually, however, and we’ll need to know if you’ve suffered loss or damage to your collection in the past.
- Damage, Breakage, And Theft are Covered
Our collectible insurance policies offer total risk protection, including accidental breakage or flood damage, which often aren’t covered by homeowner’s policies.When dealing with rare or fragile materials, accidents can happen at any time. A collectibles insurance policy is the best security you can purchase when dealing with vulnerable pieces of art or history, since even damage you inadvertently cause is usually covered.