Collection Insurance - Some Important Information For Collectors

Collection Insurance – Some Important Information For Collectors

You may think that collection insurance isn’t necessary for your treasured array of objects. In addition, you may believe, along with many other collectors in the UK, that insurance for your collection is either non-existent or prohibitively priced. Here’s some information that may change your mind.What’s Covered Under Insurance for Collections?The list of items that are covered by insurance for collections is surprisingly comprehensive. While it’s obvious that collections of dolls, coins, comics, stamps and toys like trains are typically covered, you’re also likely to obtain coverage for collections of items that are sometimes outside the collectible “mainstream.” Examples are coin operated devices, taxidermy, sewing-related items and writing instruments. Many insurance agents offer coverage for these unlikely items and many others.Why Do I Need Special Insurance for My Collection?Even if you carry insurance on your home and contents, it’s very likely that the amount you’d receive in the event of a loss would not cover the full value of your collection. Insurance companies are simply not set up to handle such claims, which is why most serious collectors carry separate insurance from companies that specialise in insuring collections and their one-of-a-kind components. Insurance for collections is broader and more comprehensive than homeowners insurance and provides coverage for theft, fire, flooding, natural disasters and breakage. Generally, appraisals are not required to obtain collection insurance; you determine both your collection’s value and the amount of insurance you need. It is a good idea, though, to maintain a comprehensive and detailed inventory of your collectibles. This will expedite insurance claims in the event of a loss.What Type of Coverage is Available?You should obtain “all risks” insurance for your collection. This type of coverage is comprehensive and provides protection against virtually every type of risk of physical loss or damage. Since many collectors also attend shows and sales, be sure that your all risks insurance has provision for coverage whilst traveling or attending a show or sale, whether in the UK or abroad. Additional premiums are usually required when travelling outside the UK. Also be sure that ‘sendings’ to anywhere in the UK by post, rail or other conveyance are covered. ‘Sendings’ abroad may require an additional premium.Serious UK collectors are urged to obtain comprehensive collection insurance from an experienced insurance agent in order to protect their investment in the widest possible variety of events and situations.