The Basics of Fine Art Insurance and Why You Need I

Homeowners insurance can help cover your personal possessions in the face of numerous hazards. However, your standard homeowners insurance policy might be limited in terms of coverage for high-value items, such as fine art pieces.

Fine art pieces are cherished collectibles. What’s more, these pieces are also unique, often irreplaceable and worth a lot of money. Yet, you should be able to obtain affordable coverage for these items without a hassle. You can do so by investing in a fine art insurance rider as part of your homeowners policy. a close up of a painting

Let’s take a closer look at this insurance benefit and how it works.

What Is Fine Art Insurance?

A piece of fine art is a collectible item. Therefore, it is not only expensive, but also hard to replace. As a result, any type of damage to the item (or the total destruction of it) could leave you in a financial hole.

You don’t want to face the prospect of such a loss, and it’s only natural to hope that your homeowners insurance policy will provide you with the funds needed to replace the item. However, the costly risk factors associated with fine art pieces make them a more substantial burden for homeowners insurers to cover. As a result, many insurers limit standard coverage for such items.

A fine art insurance rider is a provision that can allow you to receive adequate compensation for the loss of a high-value piece. Essentially, a single rider extends to a single piece of fine art—such as the portrait over your mantle—and insures that item for its specific value. As a result, the item will be protected by a much higher level of coverage than it might if it was covered under the standard terms of your homeowners policy.

This rider can help you recover, replace, repair or simply receive a loss settlement for the fine art piece following various hazards. Covered losses include:

Smoke or fire damage

Theft or vandalism
Certain forms of water damage (e.g., damage from a burst pipe)

Additionally, some fine art insurance riders can help cover the loss or disappearance of high-value pieces. Such coverage is often excluded under standard homeowners insurance.

When getting a fine art insurance rider added to your homeowners policy, you will be required to have the value of the piece appraised. In general, the policy will provide a payout based on the cost necessary to repair the item. However, if the item is a total loss, then the insurer will offer a payout based on the appraised amount. As such, the appraisal process can help ensure you receive an adequate settlement for the fine art piece.

With our help, you can add a fine art insurance rider to your homeowners policy without a hassle or added cost burden. Don’t hesitate to contact us today to get your policy started.

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