Homeowners insurance blog

Insuring Your Collections

Most standard homeowners insurance policies include coverage for your personal property and the contents of your home. However, if you own a collection and its value exceeds your coverage limits, you may find yourself underinsured and out a large investment. Here are a few examples of common collections that are highly recommended to insure:

Coin collections

Depending on the size and value of your coin collection, it may not be covered under your existing homeowners insurance policy. Many standard policies include a limit of about $200 – if you’ve got a collection worth thousands you could be extremely underinsured. Serious coin collectors often extend their limits by purchasing a separate endorsement on their existing policies or by investing in individual personal article floaters. A number of providers specialize in providing coverage for coin collections and may offer more expertise and peace of mind than your primary provider.

Wine collections

The contents coverage included in your homeowners policy may not cover you if your climate-controlled wine storage unit malfunctions and destroys your priceless wine collection. Most collectors purchase a blanket policy to insure wine bottles valued at less than $1,000 each under one large sum or choose a stand-alone wine insurance policy to insure each bottle separately. A stand-alone policy is required to insure bottles valued at more than $10,000. Work with an agent with expertise in wine insurance to determine what kind of insurance is required to protect your personal collection.

Art collections

Although many pieces of art are irreplaceable, it’s a good idea to protect your investments with art insurance. Work with an insurance company with expertise in art insurance, because these providers will better understand how to appraise your collection and handle claims. Although it’s difficult to determine how much to insure a priceless work of art for, many collectors opt for coverage that will offset your lost investment or even help recover the piece. A licensed agent who specializes in art insurance is best equipped to help you choose the best option for your collection.

Other collectibles

Specialty insurance is available for all kinds of collections, from classic cars to Barbie dolls. Work with a licensed agent to find out whether specialty insurance is right for you or whether it’s more practical to simply purchase additional coverage from your current provider. Regardless of which provider you choose, you should have assurance that the collection you’ve worked hard to build is protected with insurance.