Experienced collectors know failing to insure fine art, antiques, or valuable collectibles can be a costly error. Generally, homeowners insurance policies do not provide sufficient coverage for these valuable collections. However, it is easy and usually quite affordable to obtain riders to National City home insurance policies or separate insurance for your treasures.
Before obtaining insurance, it is important to know which collectibles are worth insuring. For a collection to be insured, it must have a secondary market. Certain collectibles like antique coins, famous paintings, antique pottery, and sports memorabilia should be insured. However, while you might be quite fond of the seashells you collected during your family vacation, most shells hold little value in the secondary market. Also, unless you are Picasso’s mother, your child’s artwork will not likely meet the definition of fine art for insurance purposes.
To insure your collection, you need to obtain an expert appraisal to determine the amount of your policy. The appraisal should be updated every few years to account for changes in the market for your collection. As with many other items, collectibles and fine art are subject to supply and demand. For instance, when a popular artist dies and, therefore, stops producing art, the supply of his or her works is limited and the demand may increase. Also, certain collectibles may be extremely popular one year but interest may diminish over time. Review your collection frequently to assure pieces that have been added recently are properly insured.
Even the world’s most prestigious museums fail to adequately insure their paintings and artifacts against theft because these items are irreplaceable by their very nature. In the event a Rembrandt painting is stolen, it is impossible to purchase a duplicate. However, these items should be insured for the estimated cost of restoration in the event of fire, flood, or other potential damage. In the case of a personal collection, many collectors not only enjoy their treasures but also consider them to be an investment. A serious collector will have invested substantial sums of money in his or her collection, possibly in hopes of eventually selling it and using the proceeds for retirement or a child’s college fund. In these cases, it is absolutely necessary to insure your collection.
Learn about the types of riders you may need to insure your collectibles by calling Tri-Star Insurance. In addition to home insurance, we also offer affordable commercial, health, and car insurance in National City. Call 619-474-3900 to speak with one of our agents and receive a free quote.