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” Specifically, many people may not realize that traditional homeowners insurance policies typically have coverage limits that may not be sufficient to adequately protect high-valued property such as fineart, jewelry, or luxury items. Their expertise ensures that the valuation is accurate.
The term collectionor more specifically, art collectionoften evokes thoughts of fineart and antiques. However, the qualities that make passion assets so precious to collectors also expose them to unique risksrisks often not covered by standard homeowners insurance policies.
When Might You Need a Contemporary Art Appraisal? Art Acquisitions Art collectors, museums, galleries, and private individuals interested in purchasing contemporary Paintings, Sculpture, Photography, or FineArt Prints might seek an appraisal to ensure they make an informed investment.
If you understand these commonalities, you can ask the right questions to ensure that your coverage is adequate. Most homeowner’s policies have a total coverage limit for household contents that is based upon a percentage of your home’s value. At this point, you know you have at least $7,000 worth of fineart.
There are different marketplaces depending on many factors, including: urgency to sell, quantity, condition of the property, and the quality of the items. What is the quality of diamond jewelry? It has similar qualities. Below are some ideas for getting your 700 hours. Please note that these hours do not have to be billable.
For example, one can purchase a policy to cover their fineart collection , or purchase a valuable items policy designed specifically for jewelry , or for wines , antiques , automobiles , luxury goods such as handbags and a litany of other categories. Most standard policies will not provide this degree of specific coverage.
When applicable, sales and/or import tax, commissions and/or premiums are included in this amount.” ( Appraising Art: The Definitive Guide to Appraising the Fine and Decorative Arts , 2013, Appraisers Association of America, page 438.) The next level is Fair Market Value.
A current appraisal will help ensure that your insurance coverage is appropriate, and that you’re not paying high premiums for something that has actually depreciated in value over time. For example, if you have a rare piece of artwork or antique silver, look for an appraiser who has expertise in appraising both antiques and fineart.
Three Insurance Experts Explain the Intricacies of Insuring Your Art Collection I am often asked by clients if they should cover their art under their homeowner’s insurance (HO) or if they should investigate insuring their art with a separate fineart collectors’ policy.
If your insurance provider has asked you to get your artwork professionally appraised, or you need it evaluated for some other reason, How Do I Get My Art Appraised will help you find a qualified appraiser, fully understand all aspects of the appraisal process, and prepare you for what a professional fineart appraisal is likely to cost.
Ela | ASA, FineArts, MBA | President | Comprehensive Art Services, LLC Patrick Ela, ASA is the President of Comprehensive Art Services, LLC, and has 20 years of experience in valuing fineart. He public art consultant.
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