Valuable Items May Require Additional Protection
Do you collect any unique items? It’s not unusual for people hold onto collectible items because they are cherished and – in some cases – valuable. Some collectibles can be truly timeless, and with proper care, can increase in value. Remember Cabbage Patch Kids and American Girl Dolls? These items are now worth up to thousands of dollars, when they used to cost a mere $30.
If you aren’t much of a doll collector – don’t fret. Many other items that people have a habit of holding on to (or collecting by design) can also turn out to be valuable. Books, toys, art, medals, movie memorabilia, vinyl records, sports memorabilia, trading cards, video games, comic books, coins, stamps, wine, firearms, furniture, and jewelry all are common collectors’ items that are typically worth increasing value as they age.
It is essential to properly protect these collectibles from an insurance standpoint! Homeowner, condo, and renters policies typically have limitations in them for certain classes of property (jewelry, watches, furs, coins and firearms are examples). In addition, while your policy may provide replacement cost coverage for your contents, memorabilia, souvenirs, collectors items and similar articles are typically not covered for full replacement value that takes into account their age and/or history attributing to their unique value.
This is where valuable articles coverage (also sometimes called inland marine coverage) comes into play. This type of insurance allows you to insure your collectibles for their actual collectible value, so you’ll have the peace of mind knowing that baseball card worth $100 is actually insured for that amount.
However, before you insure your collection, document it! Create a detailed list, take pictures, keep receipts, and store them in a safe place. If you update your inventory, be sure to document those changes as well. From there, we recommend you get formal appraisals when appropriate to determine how much insurance you will need.
Insuring memorabilia is often overlooked, but spending a little time to document what you have as well as what it’s worth will allow you to obtain the proper insurance coverage for these unique items. As always, feel free to reach out to The Uhl Agency at 937-434-9090 if you have any questions!