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Post by commandax on Aug 1, 2009 20:24:13 GMT -8
I've spoken to several people recently who have HUGE collections of art, and no insurance for them whatsoever. Many of us who love art pour all of the money we might otherwise save for retirement, or for a rainy day, into our art collections. Would you put your retirement savings into an account that was uninsured? Would you own a house that was uninsured? Probably not. Yet many of us have enormous amounts of principal – setting aside any appreciation that our art may have gained – hanging on our walls, completely vulnerable to earthquake, fire and theft. This was driven home to me just now by this article about a famous collector of African-American art whose mansion just burned down. She lost a lifetime's worth of art. Since she's had the collection appraised recently, she was almost certainly insured... so at least she can start up her collection again, although of course it will never be the same. An insurance rider on your homeowner's or renter's policy really does not cost all that much. If you have $50,000 worth of art, it's only about $200 a year. Sure, you have to provide receipts and have the art photographed by someone from the insurance company, but you really should have all your art receipts together anyway, and once it's done you can have some peace of mind. If your art has gained a lot of value since you bought it, it's a good idea to have it appraised. That would cost a little, but think of the alternative. OK, end of lecture. |
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Post by oldfartatplay on Aug 3, 2009 6:32:05 GMT -8
Insuring my collection has been haunting me for years. I was terrified that something could happen, from a hanger coming loose to a fire. One of the biggest problems was finding someone to do the appraisal as insurance companies require it. You can imagine how hard it is to find an appraiser that is knowledgeable with this genre of art. So I photographed everything, made a spread sheet including, where and when I purchased, original price, media, size etc. I found a gallery in town that had a very well qualified person that did this service. The appraisal wound up costing $500. The insurance company that covers my home wrote up a rider that covers every thing and anything that could happen. I rest better at night but I still worry about things especially after seeing stories like the one commandax sighted above (I didn't take the time to read it but know all about what happened, low water presser in DC? no kidding).
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brobt
Full Member
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Post by brobt on Aug 3, 2009 7:37:14 GMT -8
It can be pretty difficult getting the insurance in place initially. Finding receipts and invoices, or trying to get them after the fact. But once the policy is in place its a breeze to add paintings and the underwriters usually just take your word on things.
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Post by highbrow on Aug 3, 2009 7:50:30 GMT -8
While my collection pales in comparison to all of yours I figured it would be best to get insurance. I was originally with State Farm for home owners, and inquired about a seperate rider for art as my policy states art is covered up to 2500 max, and my collection is more then that. I was told by them everything was covered and a seperate rider was not needed, knowing I had a few high dollar works from Fairey and Sorren in the works I was not comfortable. I contacted USAA and inquired, I switch home owners over and was told I would only need apprasials or receipts for single pieces over 10K ( I only have two ). Everywhere I read said this was not true, but the people at USAA swore to me i was covered, got me the binder and there i was insured. No more then 3 moths later a small piece valued at 2K fell off the wall when a door slammed due to a window being opened, on its way to the ground it caught a framed print as well crashing to the ground. The print was ruined as a piece of glass created a large scratch on the print and the unframed landed on the metal table taking a large piece of it out ( the work not the table ). I was sick to my stomach, i called USAA and they told me to file a claim online, to be honest I thought I was SOL, I filed at about 3am and at 4pm I got an email asking for photos of the work, there was for these works no prof. apprasial on hand just what the artists told me replacement costs would be 3K and 1.5K. I emailed photos and heard nothing, told it takes about two weeks, i figured to be honest I was really SOL but 10 days later a letter arrived with a check for the full amount and showing my rider had been updated removing the works. I have to say I can not stress two things enough number one if you have art insure it, and number two if any family member is in the military try to get USAA insurance, at the end of last year they sent me a check for 137.00 becuase they had turned a profit and refunded and monies when there is a profit. I sleep very good now knowing if anything does happen I am truly covered.
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Post by rkitek on Aug 3, 2009 11:35:49 GMT -8
Highbrow, thanks for posting about your experience with USAA. I'm pleased to hear that they were so responsive. I've always had excellant service with them and recently placed insurance coverage for much of my collection with them. I too was surprised that other than providing specifics regarding each piece of art and valuations that they did not require an appraisal for each piece. That was fortunate for me as I wanted to place coverage before I left the country on vacation.
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Post by highbrow on Aug 3, 2009 11:58:55 GMT -8
yes they were great, the only work I had ever sent them anything on was my Joe Sorren work, other then that they have not even asked for proof of purchase.
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Post by ricosg11 on Aug 3, 2009 12:01:32 GMT -8
I am insured with travelers. It was very easy. My fee is only about $300 a year, and covers everything, plus renters insurance. I have each piece itemized. I did not submit my invoices because I did not want to be penalized for buying well/early. The insurer is a close family friend so if anyone is looking to start a policy, I can put you in touch.
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Post by Andrew Bell on Aug 3, 2009 17:33:07 GMT -8
I am insured with travelers... Do you know if Travelers has renters insurance in NYC? I'm in the market for a new policy with a fine art rider. I had MetLife Home & Auto insurance, but I could never afford their art/collectibles rider because they wanted 10% of the value of my collection per year, which is pretty insane. I think I just had a horrible agent. |
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Post by ricosg11 on Aug 5, 2009 17:23:02 GMT -8
Funny, I live in NYC I am insured with travelers... Do you know if Travelers has renters insurance in NYC? I'm in the market for a new policy with a fine art rider. I had MetLife Home & Auto insurance, but I could never afford their art/collectibles rider because they wanted 10% of the value of my collection per year, which is pretty insane. I think I just had a horrible agent. |
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Post by commandax on Mar 17, 2010 14:25:50 GMT -8
***Moderator's note: reposting this to the correct thread for steveinca...*** hey guys/gals, I know that there's an insurance thread somewhere here but i was unable to find it using the "search" tab. I'm contemplating insuring my collection and wanted to ask you all a few questions. Have most of you insured your collection? Do you recommend any particular insurance provider? What, on average, are the premiums? What is the assessed value of each piece based on and how did you come up with a total value for your collection? Meaning, if i bought a one of a kind hussar piece three years ago for X amount of dollars, and now similar yet different pieces are selling for three times X...does the insurance company go off of recent sales or purchase price? Thanks all.....and it's a beautiful, sunny day in California!!  |
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Post by ken on Mar 17, 2010 17:38:08 GMT -8
With all the earthquakes, sea lions leaving the pier and me living in Northern California and all I figured it was about time to get some insurance myself. The nice folks over at White Walls have just finished their appraisal and I'm waiting for it to show up in the mail any day now. Will keep ya updated!
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Post by epicfai on Mar 17, 2010 19:38:38 GMT -8
for those that have done appraisals on their collections how often do you update this?
my collection is insured at cost only at this point (through usaa). my premium for ~20k coverage is $24/year. the downside being that usaa wont insure against drop damage - which living in LA is a real concern given earthquakes. not sure how this exclusion applies given the usaa story above...maybe this has changed recently?
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Post by commandax on Mar 17, 2010 20:56:56 GMT -8
for those that have done appraisals on their collections how often do you update this? my collection is insured at cost only at this point (through usaa). my premium for ~20k coverage is $24/year. the downside being that usaa wont insure against drop damage - which living in LA is a real concern given earthquakes. not sure how this exclusion applies given the usaa story above...maybe this has changed recently? My State Farm personal articles policy covers drop damage – perhaps you should switch. It costs about twice what you pay, but with earthquakes your #1 threat, you want that covered. The policy covers everything except: loss or damage as a result of war, discharge of a nuclear weapon, customs or quarantine seizure, illegal activity, wear and tear, vermin or insects, or nuclear hazard. I guess I would plan to have an update appraisal if I thought some of my pieces had appreciated considerably. At the moment, I'm happy to know that my initial expenditure is secure. |
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Post by Weezy on Mar 17, 2010 21:18:40 GMT -8
If there is a gallery that represents an artist, I believe they are supposed to give you a complimentary appraisal of what a work of similar size and quality by that artist would go for today. I recently received such a letter from one of the galleries where I bought a painting that went up 10x what I paid. I can use that letter for purposes of insurance.
Does anyone recommend State Farm? I was going to insure with them.
Weezy
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Post by ziggy1 on Mar 17, 2010 21:47:15 GMT -8
I have my car, home, umbrella policy and art through State Farm and would recommend them.
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Post by epicfai on Mar 17, 2010 23:36:21 GMT -8
for those that have done appraisals on their collections how often do you update this? my collection is insured at cost only at this point (through usaa). my premium for ~20k coverage is $24/year. the downside being that usaa wont insure against drop damage - which living in LA is a real concern given earthquakes. not sure how this exclusion applies given the usaa story above...maybe this has changed recently? My State Farm personal articles policy covers drop damage – perhaps you should switch. It costs about twice what you pay, but with earthquakes your #1 threat, you want that covered. The policy covers everything except: loss or damage as a result of war, discharge of a nuclear weapon, customs or quarantine seizure, illegal activity, wear and tear, vermin or insects, or nuclear hazard. I guess I would plan to have an update appraisal if I thought some of my pieces had appreciated considerably. At the moment, I'm happy to know that my initial expenditure is secure. interesting. as much as I love USAA, I think that I would switch if they would include drop damages. did you go through a particular agent or website? |
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Post by commandax on Mar 18, 2010 6:11:16 GMT -8
My State Farm agent is Marlene Brown, 8326 Wilshire Blvd, Beverly Hills, CA 90211 (323) 951-9393
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Post by ken on Mar 18, 2010 11:32:09 GMT -8
My State Farm personal articles policy covers drop damage – perhaps you should switch. It costs about twice what you pay, but with earthquakes your #1 threat, you want that covered. The policy covers everything except: loss or damage as a result of war, discharge of a nuclear weapon, customs or quarantine seizure, illegal activity, wear and tear, vermin or insects, or nuclear hazard. I guess I would plan to have an update appraisal if I thought some of my pieces had appreciated considerably. At the moment, I'm happy to know that my initial expenditure is secure. Cool, good to know! |
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Post by pieohpah on Mar 20, 2010 9:04:39 GMT -8
We decided to take the insurance plunge 8 years ago when our totaled invested value crossed six figures. Hated the idea of more money out the door, but how could one not insure when your talking 1) things you love, and 2) high value items? We have State Farm for our art rider policy (on top of the home policy). It was a bit of a pain to set up the first time through because original receipts weren't enough for the higher value stuff, say 20k+. In those cases they insisted on professional appraisels as well. The data they wanted included artist, medium, year created, piece size, image size, framed or not, value. But once they had all of that, it's been pretty easy to add and delete pieces, and change values. Right now we pay $3.15 for every $1000 of value insured.
One thing we need help with... does anyone here know anybody in the DC area that does professional appraisels for Joe Sorren works?
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Post by oldfartatplay on Mar 20, 2010 11:59:41 GMT -8
One thing we need help with... does anyone here know anybody in the DC area that does professional appraisels for Joe Sorren works? Try Irvine Contemporary |
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Post by pricklypete on Apr 1, 2010 7:33:04 GMT -8
I just got my collection insured through State Farm. A little pricier than I was hoping for but I'm sleeping better at night when I'm away from home. One problem I'm having is that I have a painting or two that I wasn't able to get an appraisal for. I contacted one gallery that I bought the piece from in Paris and got no response. As it stands no appraisal = not insured. So there are a few pieces that were a little spendy that I have no coverage for. I guess this will be my summer project.
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Post by epicfai on Apr 1, 2010 7:46:54 GMT -8
So i've been back in touch with USAA regarding my policy and it turns out that basically everything is covered except damage as a result of negligence or intentional damage. They reassured me that if an earthquake were to rattle everything off of the walls, everything would indeed be covered.
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Post by pricklypete on May 26, 2010 14:22:13 GMT -8
I just got a rejection letter from State Farm saying my appraisal wasn't "adequate". No one is returning my calls to find out what would make it "adequate". I did have the appraisal done by a well known gallery. I'm really bummed about this.
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Post by ziggy1 on May 26, 2010 15:09:17 GMT -8
I just had an appraisal done for State Farm by a local certified appraiser. Although she specializes in jewelry, I think it was accepted because she runs an appraisal business. They might think that a gallery is biased. I would suggest calling up your local agent and having them recommend an appraiser. That's what I did and everything was approved no problem.
Almost a $100k of art insurance for less than $300 a year.
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Post by chadley on May 26, 2010 15:29:16 GMT -8
does that cover things like water damage if a pipe bursts or the basement floods?
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