Art Insurance - What you need to know

You can’t be prepared for everything, but insurance can provide peace of mind when you need it most.

You can’t be prepared for everything, but insurance can provide peace of mind when you need it most. There are many questions surrounding what type of insurance you would need to proficiently insure your art collection. We are going to go through the biggest questions so that you don’t have to!

Does my home insurance cover my art collection?

Homeowners and contents insurance cover the rebuild cost of your home and items within it. This can give you great peace of mind in the face of accidental or irreparable damage. However, most home insurance will not cover all items within your home. A lot of insurers will place restrictions on certain commodities in your home. Diamonds are a good example of this. Art is another. Due to the varying nature of what can be termed ‘artwork,’ how it is produced and how it is certified, it is easier for insurers to simply exclude this from your policy. Therefore it is vital that specific art insurance be taken out to cover your collection. There are restrictions; you need to check the exclusions of your policy if you don’t already have a separate one for your collection.

What are the benefits of having art insurance?

  • In the event of theft, Art insurance allows the policy holder to authenticate their entire collection via the insurance company's records.
  • Gaining back the value of art that is lost or damaged is something of a comfort, knowing that you have comprehensive cover for these items will give you peace of mind, further adding to the enjoyment of your collection. Having the correct insurance will let you sleep that bit better than what you thought.

How do I start the process of insuring my collection?

Firstly, you need to prove that the artwork is yours and secondly what it’s currently valued at. Documents you can use include:

  •     Proof of ownership
  •     Bill of sale 
  •     Replacement estimate
  •     Photographs of the piece 
  •     The most recent appraisal

Any works purchased from Hancock Gallery will come with a complete pack of documents.

The first document that you will receive is a bill of sale. This is essential for securing the market value at the point of sale. An original work will always come with a valuation certificate. When insuring your collection this is one of the main documents needed. If you have purchased a limited edition or sculpture, a certificate of authenticity or COA will be provided, meaning the authenticity of your piece is fully protected.

Appraisals - how often do I need to have my art appraised?

There is no set time limit on re-appraisals. At Hancock gallery we would recommend a re-appraisal between 3 – 5 years.

Don’t risk not insuring, start calling your local art insurers and ask questions. Not having insurance is a risk and are you willing to hedge that?