posted 08-09-2001 02:51 PM               

I, too, collect various types of space items and insuring the collection can be a little dicey. I have done some research on collectibles of this type and some of the items can qualify under the fine arts section of your homeowners policy (or the industry calls it an HO-61, Scheduled Articles Floater), but not all.

Most homeowners insurance companies shy away for insuring collectibles such as coins, stamps and signatures (Most signatures will fall under the manuscript clause in your homeowners and be insured up to a limit of $1,000 (unless you have purchased an enhancement endorsement, but it is still limited).

The other problem is valuation after a claim has taken place. The HO-61 endorsement states that it will either replace the item or remunerate you for the value placed on the item in the schedule. The problem is that most companies do not know how to appraise this items or they do not know of any experts in the field, so the adjuster will attempt to handle the valuation himself (adjusters will normally go to a local independent appraiser to verify your figures and they will be guessing). You can get into a long term disagreement with the company in trying to settle your claim.

I suggest two plans of action. The first is to contact either your agent or company and find out if they would provide coverage, how they would provide coverage and how they would settle the claim in the event of a loss. Get it in writing. If the answers are not satisfactory, then go to the second plan of action and this depends on the value of your collection.

Plan two. I have researched this matter and found two solutions to the problem. The first solution is to contact an insurance agent that represents Chubb Insurance Company. Chubb specializes in high value insurance for homes. Chubb's HO-61 states that whatever values you put on the schedule and you provide an appraisal from an appraiser with expertise in the field, then if you get paid that value in the event of a claim. Chubb provides coverage for rare stamp collections, space collections (mine) and other unique treasures. The problem is that they are more expensive then the average homeowners insurance company, but their motto is "you get what you pay for." Their claim service is superior.

As a quick aside, Chubb also specializes in insuring museums and their valuable pieces. They know what they are doing.

The second solution is in the event that the cost is too much or you don't have a home. Although Chubb will insure single collections, the cost might be a bit much. The Hartford Insurance Company through Collectibles out of Maryland will insure valuable articles.

Hartford's valuation is the same as the standard homeowners program, but the Collectibles people have experience in insuring space artifacts. It is a good alternative.

As for appraisers, I do know of some and I would be glad to share their names with you off line. Please feel free to email at the address on this board.

posted 09-18-2002 03:27 PM               

All I need is an itemized list, i.e. spreadsheet with descriptions and values. This is easy I have an exact list of every signed litho, signed book, bolt, couch scrap, NASA SP etc with description and value already.

For limited editions like, "Hammer and the Feather," I need to add the litho number of the series too.

All of that documented and I only pay for 29 cents per hundred dollars declared per year up to $30,000. Once over $30k it drops to 25 cents per $100.

I was wondering how this story adds up with my fellow collectors who have insurance or are agents themselves?

posted 09-18-2002 04:41 PM               

I was able to document my background and status for my insurance agent and she accepted my values (while I also provided documentation as to where those values came from too) - but I have one of the most amenable agents in the world. An exception to the rule - to be sure.

posted 09-18-2002 04:48 PM               

And I agree completely, Al. When I realized that they required an appraisal I chose not to go with them - for precisely the reason that you mentioned. I'm actually still in the process of searching for an insurer and having little luck...

posted 09-18-2002 05:03 PM               

Something like the Lindbergh print which went for $350 earlier this year would be a bear to assign a value to today.

Some things are absolutely irreplaceable. Thus, I am also looking into fireproof safes. But those are also not an end all. After all, the safe just protects against raw flame. They still get hot inside and could melt those lovely acid free sleeves! (I had a fireman friend recommend that you don't put your safe anywhere near a natural gas line.)

posted 09-18-2002 10:41 PM               

There are some pros and cons to listing your collection under the floater section of your policy.

The pros are that your agent is correct. Many items that we possess are indeed pieces of art. Also these pieces can be valued by going to sites like Novaspace. You don't have to get an appraisal if there is good information about the piece and the price listed somewhere. Items like Bean prints and their prices can be easily verified. An example of this is how clients can insure silver flatware (ie. knives, forks, spoons, etc.) by providing a copy of the pages from a price list from the manufacturer. The premium is reasonable and the coverage is Worldwide Replacement Cost.

The con is that many pieces in one's collection may or may not be considered art. Is an astronaut's signature on a photo considered to be art? Is a flown space shuttle tile considered art (I suppose one can claim it's modern art depending on how the tile melted during reentry).

If you plan to use this method of insuring under the HO-61, then make sure the company understands what these items are and how the value was attained. Get it in writing. Each insurance policy has a clause in the Conditions section that basically allows them to back away from misrepresentation in the policy.

Many companies don't insurance space collections, coin collections or stamp collections. It can be very hard to place an exact price on some objects. So make sure the agent clears it with your insurance company. Plus company underwriters just don't believe that a piece of paper that flew in space can be worth anything. (I won't comment on the country's lack of knowledge concerning space however sad). After all they aren't rocket scientists. This is why many companies don't insure these items, because they don't understand them. Also the market dictates company appetites, this is a bad time in the insurance industry, so they tend toward conservative underwriting standards.

If the company accepts the values and schedules the item you still are not home free. The HO-61's definition of replacement cost is either the cash or a replacement item of like kind and quality, whichever cost less. If you insure an item for $1,000 and the company can purchase the piece for $500, then that is what you get.

As for appraisals, companies need some baseline number for an item. They request that a professional be used in fixing a replacement price on an object. Al is right, since there aren't many professional space collection appraisors out there at this time. Most appraisors have no training on signatures or flown items, so it is a matter of instructing them.

Finally, to people discussing the need for a floater. The coverage is much different from a standard homeowners policy. If you have a floater, then consider the total homeowners policy as three separate policies linked together. A property policy, liability policy and an inland marine policy (Ho-61). The inland marine section of your policy includes the Schedule Items Floater policy can provide protection of scheduled items anywhere in the world, replacement cost, no deductible. The property section only includes coverage from things destroyed in your home. The HO-61 is a much broader policy section.

As for comments concerning just not insuring the items and putting that pocket money into the bank to cover a loss. How much money do you have in your savings account now? Plus how long will it be before the sum of your savings is worth the value of your collection?

I hope this helps. If not we can discuss the exciting world of insurance again.

posted 09-19-2002 09:04 AM               

As for the "put the money in the bank instead" comment, I meant that a bit tongue-in-cheek. I know that it does not replace the need for insurance.

posted 09-19-2002 03:57 PM               

For larger collections with things like lunar surface flown items that individually could run into the tens of thousands of dollars range, then you need to look at appraisals and individually scheduling those items. A lot of insurance companies won't do this for space collections.

In my search I have found two companies that will insure space collections. The first company is Chubb Insurance Company. They will handle space, coin, stamp and rare book collections at whatever price you place on the item. If the item is over $100,000 (and some items are), then you need an appraisal.
Chubb is expensive, but they are a high end insurance company and do things like this for their clients. Ask your agent.

Another company that insures collectibles is the Hartford Insurance Group. They use a managing general agent in Maryland named Collectibles. They will issue a policy on a stand alone basis, but the valuation clause in the form is not as good as the Chubb form's clause.

posted 03-15-2003 12:45 AM               

I have an autograph book which I am considering having insured, but I don't know were or who to talk to about it.

posted 03-16-2003 06:46 AM               

Furthermore, insurance on autographs is especially difficult due to the subjective nature of the valuation process. Most companies will not provide insurance on such things as coin, stamp and autograph collections due to the inability to place a concrete value on the piece. Plus insurance companies tend to avoid insuring risks they don't understand.

Normally, you would put an endorsement on to your homeowners (tenants & condo) policy. If you don't have such a policy, then it makes it even more difficult to find a company who will cover your collection.

If you do find a company (i.e. Chubb Insurance Group), the current market situation forces you to insure for a very high price. Sometimes the value of the object to be insured is not worth the cost of the premium and you will wind up being very disappointed about the settlement of a claim.

posted 07-19-2004 10:09 AM               

Which insurance companies are best - what do they require from me (apart from my money!)? I am in the UK.

posted 07-19-2004 04:55 PM               

• Got an insurance broker - this is key as you are dealing with one person who knows the insurance market and will advocate on your behalf. It also give you an individual person to deal with who can get to know a bit about your specific needs AND can't fob you off if it all goes to custard.

• To insure, I found that no company would insure the "collection" as such but would consider the individual items within it under the general rubric of "household contents". I have a set of scans/digital photos with price and purchase information which I keep securely off my home property in case of a claim.

• Items over the limit of normal cover are identified on my policy as "specified items" and are documented and valued separately on the letter of cover.

posted 07-19-2004 06:59 PM               

The American Philatelic Society offers a plan to members that covers their stamp collection and "collateral" material (like autographs) to members.

The following company advertises in the APS journal, but I don't know a lot about them:

Collectibles Insurance Agency
15 East Main Street Suite 220, Westminster, MD 21157

posted 07-21-2004 03:45 PM               

Best is you find a local insurance dealer that can help you finding the right insurance companies as there are several specialized on collectibles. For my needs Hiscox was the best.

Concerning Hiscox, they are working closely with Christies, so since Christies had two space sales they shouldn't have trouble insuring space collectibles - at least I had no problems at all with them here in Germany.

What you have to do is write down your objects over approx. $5000 in value (everything below simply add to a total sum and insure it as one position). Take a fair market value though from what I know this is not a big issue with Hiscox (i.e. you can insure your Neil Armstrong at $10000 if you believe it's worth that much).

There is one big advantage of those specialized insurance companies as opposed to general home insurance companies - once they accepted your inventory and values after you signed up with them, they will pay you those values. (whether the Neil is worth $1000 or $10000, if you insured it for $10000 you'll get $10000).

Hey, don't many Hollywood folks insure their body parts in the UK as well?

Again this message thread is too small to explain the complicated insurance business, especially the local differences (USA, UK, Germany) if there are any.

posted 01-31-2006 03:14 PM               

Has anyone out there been through this exercise? Any information would be appreciated, thanks.

posted 04-02-2009 11:38 AM               

If you have items that are not displayed, such as photos kept in a binder, you could ask your bank about renting a space in their safe. My bank offers a box large enough to store at least two large binders for about $100 a year. (I'm not sure, but I think an accountant once told me that such boxes are also tax deductible)

As others have mentioned on other threads, if you have photocopies displayed as not to expose original photos to sunlight, (and even possible theft) you could store those originals at your bank too. More homes catch fire than do banks.

posted 01-29-2011 12:17 PM               

Thank you and please let me know!

posted 03-31-2014 11:56 AM               

Fine art is the preferred classification cost-wise, but my insurer wouldn't classify space material that way (and I have an existing fine arts rider with that company).

The quote that came back was a bit eye-popping when insured as 'collectibles'. Same for Collectinsure. Chubb didn't work out as they require another policy in place and wouldn't quote the space collection standalone.

Good luck.

posted 03-31-2014 05:51 PM               

Most homeowners policies have a maximum per-item limit, so use caution if you go that route.

posted 04-02-2014 07:29 AM               

To go beyond that would take a rider. He didn't go into details, but said that it would be nothing special, just a "collectibles" rider, at which point I could set the limit to anything I wanted to pay for, but they would only pay the "fair market value" for any loss.

posted 04-02-2014 08:03 AM               

quote:

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Originally posted by Gonzo:
... but they would only pay the "fair market value" for any loss.

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posted 07-13-2015 08:52 AM               

And is the quote the provide monthly or yearly? It did not state on the website. Thanks.