麻豆放映免费

4 -MINUTE READ

Insuring Private Collections with Specialty Insurance

Aug 31, 2023

Private collections, whether they comprise rare art pieces, vintage cars, exquisite jewelry, or other unique treasures, hold immense value not only in terms of monetary worth but also in sentimental value. As insurance agents, understanding the nuances of insuring private collections is pivotal to ensuring collectors safeguard their cherished possessions. In this blog, we鈥檒l dive into the world of private collection insurance, offering valuable insight that can guide insurance agents in providing tailored coverage solutions.

defining private collections

Defining Valuable Items for Private Collections

In private collections, the term 鈥榲aluable items鈥 encompasses various that range in size, value, historical context, cultural significance, current market trends, and more. It鈥檚 beneficial for insurance agents to clearly understand what falls under this category to offer appropriate coverage solutions. Here are some common types of valuable items that collectors might include in their private collections:聽

  • Fine art: Fine art encompasses paintings, sculptures, and other forms of artistic expression. It鈥檚 common for works of art from renowned artists or pieces from pivotal artistic movements to be worth anywhere from tens of thousands to millions of dollars. Imagine browsing someone鈥檚 living room and seeing dozens of Peter Keil鈥檚 paintings and a handful of 鈥 these tend to be worth thousands of dollars a piece.聽
  • Jewelry & watches: are also considered valuable items; they often feature rare gemstones and precious metals. Their value can also be attributed to a specific type of craftsmanship, history, and materials used. Often, even the very reputation of the watchmaker or jeweler can add value to the items.聽
  • Antique furniture: Antique furniture holds a timeless charm and historical significance, and because it features designs from bygone eras, it tends to be lucrative.聽
  • Stamps: Stamps showcase the evolution of postal systems, and they serve as windows to history, culture, and art. Rare stamps can be worth hundreds of dollars.聽
  • Coins: Coins can accrue immense value due to their rarity and historical context 鈥 mainly because some are no longer produced after a given date.聽
  • Handbags: High-end fashion pieces, such as designer handbags, are valuable due to their brand reputation, craftsmanship, the type of materials used, and due to their limited availability.聽
  • Sports memorabilia: Sports memorabilia captures moments of triumph and heroism in athletics. Because they feature famous athletes, they are immensely profitable.聽
  • Wine & whisky: Collectors prize rare vintage bottles and those bottles with a cultural history attached to them. Because wine and whisky accrue value with age, they are an alternative investment for many collectors.聽

The Limitations of a Homeowners Policy聽

The Limitations of a Homeowners Policy聽

Collectors of valuable items may opt for a homeowners policy to cover their private collections due to convenience. However, what feels like a time-saving option in the beginning may prove to become a very costly decision

Although homeowners policies usually include coverage for personal property, which can extend to their private collection, coverage tends to be limited. For example, a homeowners policy may protect the collection at a defined location (e.g., at the owner鈥檚 home) but may not extend beyond that given geographic area. The limitations of a homeowners policy may not be problematic if it wasn鈥檛 for a common trend 鈥 private collections often move for purposes of exhibitions, loans, and restoration. During transit, these collections can either get damaged or lost. Hence, a homeowners policy is ill-equipped for these types of risk exposures.

Additionally, while a homeowners policy can protect valuable items such as jewelry and watches, it does come with an insurance cap 鈥 typically around $25k. The insurance cap means that if your client has a collection worth hundreds of thousands of dollars, they are susceptible to being underinsured with a traditional homeowners policy. Not to mention, some collectible items may be excluded entirely from coverage with a homeowners insurance program, no matter how valuable they are.

What is a Private Collections Policy?

What is a Private Collections Policy?

A private collection policy is specialized insurance coverage designed to protect valuable and often unique collections that avid collectors own.

Unlike standard homeowners insurance 鈥 which commonly offers a limited range of personal belongings 鈥 this specialty insurance provides tailored coverage that addresses the specific needs and risks associated with valuable collections.聽

In both these scenarios, the collectible item is in a transit journey, and it can face risks such as theft, loss, and damage. Fortunately, agents can ensure that their clients鈥 collections are covered during transit and while on display in temporary locations via a private collection policy.聽

You can be confident that your client鈥檚 collection is fully protected because 麻豆放映免费 provides access to the following coverage:

  • Up to $10 million USD capacity for any one collection/any one location
  • Broad geographic coverage: At a specific location, while in transit, and other temporary places of residence
  • Scheduled items: A Private Collection Policy will pay for the costs to repair or replace a client’s collection at an agreed value basis (i.e. values are authorized and agreed prior to the inception of the policy)
  • Blanket items: Market value up to $25K USD per item or $1K for wine/spirits聽
  • Fully comprehensive coverage that covers the following risks exposures:
    • Physical loss
    • Damage
    • Accidental damage

Enhance your clients’ confidence in their investments and allow them to preserve their collections’ financial and emotional value. Don’t miss out on providing this crucial layer of protection. If you鈥檙e looking to safeguard your client鈥檚 prized private collections, 麻豆放映免费 provides unparalleled access to the nation鈥檚 leading private collections insurance.聽 Become a collector’s ally and secure their legacies for future generations 鈥 contact us today for a quote.

The 麻豆放映免费 Personal Lines Insurance Team

The 麻豆放映免费 Personal Lines Insurance Team

麻豆放映免费鈥檚 industry-leading personal lines underwriters specialize in high-valued homeowners, primary and excess flood, hard-to-place homeowners, and everything in between. The 麻豆放映免费 personal lines team is the one-stop shop for all your monoline and packed policy needs, with access to 30+ admitted and non-admitted carrier partners.
homeowners insurance | luxury homes | private collections

EXPLORE FURTHER

TRENDS & WHITE PAPERS

麻豆放映免费 Cannabis Insurance Insights

The 麻豆放映免费 Weather Report: How Climate Change is Shifting the Insurance Industry

From wildfires to hurricanes, weather-related disasters are tallying unprecedented losses. Here's how climate change is impacting insurance coverage.

WHITE PAPER | Q3 2022 | 17 MINUTES

RECENT POSTS

INDUSTRY TOPICS

PUT JENCAP TO WORK FOR YOU

Your high net-worth clients expect white glove treatment. By partnering with 麻豆放映免费鈥檚 team of personal lines experts, you鈥檒l tap into our unmatched market access and exclusive program offerings to secure the very best coverage available. Our team will provide the knowledge, responsiveness, integrity, and speed to meet the needs of even your most exclusive and discerning clients. We鈥檙e proud to specialize in the risks others shy away from, including coastal property, wind, and wildfire prone areas. With 麻豆放映免费鈥檚 size and reach, no account is beyond our team鈥檚 capability.

Stay Informed

Want to receive information from 麻豆放映免费 on timely marketplace trends, hot new product and program launches, and valuable product expertise that will set you up to win? Sign up below to receive email communications from 麻豆放映免费.

Name(Required)
This field is for validation purposes and should be left unchanged.