We’re a nation of collectors, and more and more of us view our collectibles as alternative investments, a valuable way to diversify our assets.
According to a recent survey , one in three adult Americans reports they collect some type of physical items. Whether they’re amassing sports memorabilia or stamps, trading cards or toys, fine art or fine wine, nearly three out of four of these collectors say that one of the reasons they collect is that they view their collectibles as a financial investment.
For some, collecting is a side hustle; for others, a livelihood. If you’re among those who collect as part of an investment strategy, and not merely as a hobby, you’ll want to give serious consideration to protecting your investment with specialty collectibles insurance.
Here are three key reasons why:
- The right policy will protect your collection against a wide range of losses, including accidental breakage and theft, loss in the mail as well as during travel, and damage from fire, flood, and natural disasters.
- Your homeowner’s policy probably doesn’t provide the coverage you need. Homeowner’s insurance does a good job of protecting easily replaced property, but usually it falls short when it comes to providing the coverage your rare collectibles require. For starters, the policy may deny coverage of your collectibles entirely. Even if the policy does offer coverage, it will likely be based on the cash value of your collection and not the market value, and may not cover losses caused by floods, hurricanes, or earthquakes. What’s more, homeowner’s insurance may limit personal property coverage to a percentage of your home’s value. If your collection of, say, vintage guitars or antiques is worth more than your home, you’ll be facing a big, and potentially costly, gap in coverage.
- A well-chosen specialized insurance policy provides peace of mind that’s affordable. You may be surprised to learn how little it costs to protect your collection. For example, Collectibles Insurance Services offers protection for as low as 20 cents a day.
How to Choose a Specialty Insurance Company for Your Collectibles
When you’ve devoted time, money, and diligence to strategically building a collectible portfolio, you want to be sure your investment is fully protected. Here are some tips for finding the collectibles insurance company that will best meet your needs.
Look for a policy that gives your collection full market value, not cash value or replacement value, and that provides comprehensive coverage, including ‘acts of God.’
Consider a policy that protects your collection both when it’s at home and away. If you travel with your collection of baseball cards or vintage beer cans to shows and exhibits, you’ll want to be sure your policy offers “transit coverage.” This protects your investment during travel and shipping as well as when it’s on display. And, even if you don’t frequently show your collection, transit coverage applies when you bring the new limited-edition sneakers you’ve acquired over to the home of a fellow sneakerhead.
Opt for convenience, including a streamlined application policy that provides a quote online or with a simple phone call. Some specialty insurers, including Collectibles Insurance Services, don’t require an appraisal or make you go through the time-consuming process of itemizing every comic book or action figure in your collection.
Research the ratings that the company’s policies have received from independent third-party ratings services. “A” ratings are a reliable indication that the company is competent and trustworthy.
Finding an insurance company that understands the needs of collectors, especially those who collect as an investment, is an important step in protecting your valuable assets. Collectibles Insurance Services was founded in 1966 by collectors, for collectors, and insuring collectibles is still all they do.
Offering the most comprehensive coverage available at highly affordable rates—starting at just $6 a month—Collectible Insurance Company’s policies have earned an “A” rating from AM Best. Their expertise and affordability are matched by their efficiency: In most cases, no appraisal or itemization is required. You can often get your collectibles covered in less than three minutes, and, with the right partner in place, get back to the serious business of collecting.
Visit https://wp-global-indemnity-com-develop.go-vip.net/cis2022/investors/ and discover how easy and affordable it is to protect your valuable collection.