What are collectibles and why should you consider insuring your collectibles? Collectibles cover an wide mix of property items that people care about and find enjoyment in owning and or using. These items include jewelry, silverware, art, model trains, stamps or firearms just to name a few collectibles.
Scheduling Collectibles With A Rider
Your standard homeowner policy will only allow between $1,500.00 and $2,500 to replace or repair certain types of personal property. When you insure your collectibles that have a high value then you may want to consider scheduling these items. Scheduled (listed) these items individually and add extra insurance to cover these items if destroyed or stolen. When you schedule items with a rider, you are creating an add-on to your homeowner policy. This allows you to increase the amount of coverage for each item of personal property listed on the schedule.
The scheduled property rider will cause your insurance premium to increase. However, depending on the value of your collection the extra protection may be worth the increased premium. If you travel to a stamp show and lose an expensive stamp that was scheduled, your insurance would pay. In this same scenario without a scheduled property rider you would not be repaid by your insurer for the loss.
Stand Alone Collectible Insurance Policies
Another choice to a scheduled property rider on your insurance is a stand-alone collectible insurance policy. A stand-alone collectible insurance policy provides you with wider coverage than the scheduled property rider discussed above. Stand-alone collectible insurance can cover almost any collectible.
This type of insurance offers greater coverage than what scheduled property riders/endorsements offer. For example, stand-alone coverage can offer agreed-value coverage rather than cash-value coverage included with most homeowner policies. Agreed-value coverage pays you the amount agreed upon between you and the insurer in advance.
To learn more about insuring your valuables, call your FAPCO agent.