Posted in Fine Art & Collectibles Insurance

Fine Art Insurance: A Comprehensive Solution From Distinguished

September 5, 2024 / Distinguished

Whether it’s as an investment vehicle, a hobby, or a passion, art is big business — worth roughly $65 billion in 2024. if you want to tap into this segment of the insurance market, you’ll need to partner with a specialized fine art insurance program that can get your clients the coverages they need.

Distinguished’s Fine Art and Collectibles Insurance Program offers comprehensive insurance solutions for everything from a corporate collection of antiquities to a private collector’s assortment of rare books & first editions, comics, or Van Goghs.

Whether your clients are seasoned collectors, well-established dealers, or museums with expansive holdings, our team of passionate art and collectibles experts is here to help you navigate the complex landscape of insuring these precious objects. In this article, we’ll run through what insurance products Distinguished can offer you and your clients, the benefits of partnering with us, and how we price our fine art insurance policies.

What Do Distinguished’s Fine Art & Collectibles Insurance Policies Cover?

Distinguished Fine Art & Collectibles insurance offers a property damage policy designed to protect your clients’ fine art collections from physical, accidental loss both on-premises and off, whether they’re at home, on exhibition, or somewhere in between.

In addition to insuring your client’s art & collectibles against theft, Distinguished also offers the following coverages:

Art transport insurance: Transit coverage gives your clients coverage for their art & collectibles as they move to or from covered locations worldwide.
Art storage coverage: Whether your client’s pieces are in a warehouse before they go on display or at an unnamed site while awaiting transit, our coverage will ensure they’re covered under the specialty policy for losses due to theft, disappearance, or physical damage.
Additional coverage: Some of our policies can cover your client’s art reference library in the event these reference library books are damaged, and some offer coverage for frames, display equipment, or crates and packing materials.
Inventory preparation coverage: In the event your client needs to make a claim, they will be covered up to $10,000 to cover the costs of itemizing all damaged and undamaged works.

You can learn more about the specifics of our policies on our Fine Art and Collectibles Program page.

How Does Distinguished Offer More for Your Fine Art Clients?

Our Fine Art and Collectibles Insurance Program combines expertise, passion, and flexibility to deliver a product tailor-made for fine art collectors. Here are just some advantages you enjoy when you partner with Distinguished:

In-house expertise: Our underwriting and claims teams bring decades of specialized knowledge to the table, covering everything from decorative furniture to knowledge of conservation treatments, recommendations for warehouses, transportation companies, shipping best practices, and keeping updated on trends in the industry.
Client-forward service: We focus on building strong personal connections with our broker/producer partners, supporting you and your clients every step of the way.
Flexibility: We can adapt the policies to the ever-changing world of exposures for art and collectibles, ensuring we can help your clients keep their treasures protected, whether they’re collecting Old Master drawings or the hottest limited-edition sneakers.
Industry connections: We collaborate with an extensive network of industry professionals, including specialty fine art insurance brokers, advisors, appraisers, shippers, restorers, and attorneys.
Tailored policies: Our flexible deductibles, payment options (we offer both Agency Bill and Direct Bill), and coverage limits allow us to craft policies that meet your client’s unique needs and budgets.
Policies designed for your client’s needs: For example, our personal collections policy automatically covers newly acquired items up to 25% of the policy limit, providing immediate protection for your clients’ latest purchases, and our artist policy offers coverage for commissioned works and works in progress
Comprehensive transit coverage: We ensure your clients’ pieces are protected during their journey, whether intra-city, regionally, or worldwide—land, sea, or air.
Flexible valuation options: We offer the flexibility to value your client’s collection in a way that makes sense for your client specifically. For example, our personal collections policy offers valuation at agreed value for scheduled items or market value for unscheduled items.
Tailored underwriting: We can assist you in evaluating the information you have on hand about your client’s collection, including schedules, appraisals, or purchase invoices, to identify additional information we may need.

Who Can Benefit From Fine Art Insurance From Distinguished?

When you partner with Distinguished, you are equipped to offer insurance to all kinds of people and organizations that are involved in the collection, production, and distribution of art and collectibles.

Through our Fine Art and Collectibles Program, we offer insurance that will cover:

What Kinds of Fine Art Will We Cover?

Our policies cover a broad range of works of art. This could include:

Paintings
Drawings
Prints
Photographs
Sculptures
Glass art
Pottery and ceramics
Antiques

Our fine art insurance policies are also equipped to handle other kinds of valuables your clients may collect. For instance, our policies will cover:

In general, if there is a secondary market for these goods, we are likely to insure them with this policy. However, if you want to clarify, you can always reach out to our team, and we’d be happy to discuss your client’s collection.

How Much Will a Fine Art Policy Cost?

When it comes to insuring fine art, the cost of a policy is rarely one-size-fits-all. At Distinguished, we understand that each collection is unique, and our pricing reflects the specific factors that impact the risk and value of the items being insured.

Some of the key elements that influence the cost of a fine art policy include:

Type of collection: The nature and purpose of the collection (personal, corporate, museum, working artist, or fine art dealer) and the specific items being insured will impact the final price.
Value and size: The total or comprehensive value of the collection is a significant factor in determining the policy cost.
Risk dispersion: The spread of the collection across multiple locations can affect pricing, as it impacts the overall risk profile.
Deductible: As with any insurance policy, the chosen deductible amount will influence the premium costs.
Unique hazards: Different types of collections may have specific exposures that make insuring them more or less risky, which can impact pricing.
Location: Where the collection is housed and its susceptibility to risks like natural disasters can affect the policy cost.
Loss history: A demonstrated history of responsible safekeeping can positively impact the final price of the policy.
Transit frequency: The cost of the policy is influenced by how often the items are moved, packed, and transported, as transit poses the greatest risk to your client’s collection.

Get a Quote for Your Fine Art Clients

The first step to getting a quote for your client is to register your agency with us. Once your registration is complete, you can fill out and submit applications for your clients through our online portal. The application will require details such as:

Security information
Property covered
Loss history

We also accept ACORD applications accompanied by a Distinguished supplemental form. In some cases, we may request additional information to better understand your client’s needs, such as a copy of a consignment agreement for a dealer or a detailed description of the collection.

If you have any questions about our Fine Art and Collectibles Insurance Program or the application process, please don’t hesitate to reach out. You can contact us directly at fineartandcollectibles@distinguished.com or visit our Fine Art and Collectibles Insurance product page for more information.

FAQs

How can I find an appraiser for fine art?

You can check out AAA, ASA, and ISA databases to find a local appraiser. You can also approach any local appraiser you may know — just make sure they have a USPAP certification.

Is coverage worldwide?

Yes, unless otherwise stated, a fine art policy from Distinguished gives your client worldwide coverage for their pieces of fine art.

What documentation should be kept on file?

Your clients should always keep the following documents in case they are needed for insurance purposes:

Purchase invoice or receipt, including item description
Photos
Appraisals
A list, schedule, or inventory of the collection

About Distinguished Programs

Distinguished Programs is a leading national insurance Program Manager providing specialized insurance programs to brokers and agents with specific expertise in Fine Art and Collectibles, Environmental and Construction Professional, Executive Lines, Inland Marine, Real Estate & Builder’s Risk, Community Associations, Hotels, and Restaurants. Property and Liability products are distributed through a national network of agents and brokers. Serving the same core markets and partnering with the most stable and reputable carriers, Distinguished’s high-limit Umbrella programs remain the clear choice in its area of specialty for superior coverage, competitive pricing, and attentive service. Through thoughtful innovation, stemming back to 1995, Distinguished Programs fosters growth and opportunities for its brokers, carriers, and employees.

View a full list of our programs and submit business with Distinguished.

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