One of the best ways to keep your art investments safe is to insure them, that is, get art insurance. Here’s what you need to do to get the most state-of-the-art insurance at the best price.
The Art of Fine Art Insurance: What You Must Do to Insure Your Art Investments
The following are some insurance tips for art investors.
Art insurance: photograph your collection. This is one of the first things you should do when looking for art insurance. Take several sets of photos, at least two. Be sure to take pictures from different angles so you can definitively prove the authenticity and condition of a piece in the event of loss, theft, or damage.
Put a set of photos in a safe deposit box and keep one at home. You can even take a third set of photos to give to your attorney and/or the executor of your will. The key to remember is to take multiple sets of identical photos, not just one.
Art Insurance: Photography/Save Additional Paperwork. In addition to taking photos of the actual artwork, you should also photograph supporting documentation. For example, original purchase receipts, documentation that supports its origin, appraisals and anything else that supports the value of a piece.
Art Insurance: Create E-Files. As a backup to photograph supporting documentation, whenever possible, it’s also a good idea to create electronic files. For example, you can scan sales receipts, convert them to pdf files, and store them on your computer or a remote server.
Art Insurers: What You Need to Know
There are insurance agencies that specialize in offering coverage only on art and antiques.
Or, you can take the alternate route and get your art insurance from the same company that provides your home insurance. Many insurance companies offer discounts when a customer has more than one policy with them (for example, a homeowners policy and an auto policy).
Depending on what you have insured and how much, it will usually only cost you a few dollars more per month if you add coverage for your art to your homeowners insurance policy.
The last thing to remember about art insurance is that it can be negotiated. Don’t just accept the first quote. Compare prices, ask questions, and make sure you know exactly what you’re buying. Like all insurance, there are gaps in the policies. You don’t want to find out after the fact that a particular instance or situation wasn’t covered.
Conclusion on investments in art: If you make an investment in art, you need art insurance.