Insurance on collectibles: Are you getting the right coverage for the right price?

 Nearly everyone has their own hobby of collecting things. For some of you that collection may hold quite a lot of value. Do you have the right insurance coverage on those items? And are you paying a fair price for it? By right coverage, I mean insuring for the full value.


    Many collectible insurance policies do not insure for the full value..... And by fair price, I mean a yearly premium of less than 1% of the insured value. That's what a good collectible insurance policy will do for you. But too many people insure their collectibles with inadequate coverage and/or they pay much more than they should be paying.




     This article will inform you of what you need to know about collectible items and how to properly insure them for a low price. If you're not getting the full value for your collectibles, or paying more than 1% and yearly premium for the total value of your collectibles, then you need to take a close look at what else is out there.


Components of a good Collectibles Insurance Policy

•  Insurance coverage is on an Agreed Value basis. Never insure a collectible on an Actual Cash Value basis! Actual Cash Value is a five dollar term for market value.... You want to stay away from that.... Having your collectibles insured on an Agreed Value basis will always let you know how much your items are being insured for.

• A good collectibles insurance policy doesn't contain any unreasonable exclusions. This is a particular problem for people to watch out for that have their collectibles insured with their homeowners policy. Make sure your policy doesn't include the following exclusions:
  • Accidental breakage
  • Collectibles in the process of being packaged
  • Loss due to flood, earthquake or hurricane
  • Coverage for occasional use

    A good Collectibles Insurance Policy is offered at the right price. If you're yearly premium is more than 1 per cent of the value you have insured, you're paying too much! A good collectibe insurance policy normally has premiums less than 1%..... To give you an estimate of costs, see table below....

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What is covered:
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What is NOT Covered:

• Furniture
• Jewelry
• Furs
• Fine art
• Items used for commercial/business purposes

SUMMARY:


If your collectibles insurance policy doesn't meet the 3 components of a good policy as described above, you should strongly consider a stand alone collectibles insurance policy that does. If you live in Ohio, Indiana, Michigan, Pennsylvania, Virginia or West Virginia, I may be able to help you.




Get a collectibles insurance quote with Lyles Insurance ​


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