Insuring your collection
oldgoldlover
Posts: 429 ✭✭✭
I do not keep my coins at home as they reside in a safe deposit box. I am curious if collectors insure their rare pieces or keep they in a bank . I have talked to a couple of insurers of coins and the premium is outrageous. My question is how do you protect your collection i.e. insurance. A homeowners policy would not work very well as my insurer will not schedule them and as personal effects they exceed the coverage even if they did. In my state (Texas) the typical homeowners policy cover the personal effects up to 50-60% of the house value but collectibles are not covered per my agent.
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ranshdow
Posts: 1,433 ✭✭✭✭
Do you consider $0.55 per $100 value an outrageous rate? If not, that's what Hugh Wood charges ANA members for a dedicated 'collector' policy which covers coin and bullion storage in SDBs and at home, and while in transit between the two. There's no deductible, and you only have to itemize individual coins with values of $10k or more. They do ask what %age of the value is bullion.
Downside, earthquakes aren't covered in California. Don't know what if any exclusions apply in Texas.
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1630Boston
Posts: 13,772 ✭✭✭✭✭
From what I have learned, over the years, @ranshdow has good advice above
Successful transactions with : MICHAELDIXON, Manorcourtman, Bochiman, bolivarshagnasty, AUandAG, onlyroosies, chumley, Weiss, jdimmick, BAJJERFAN, gene1978, TJM965, Smittys, GRANDAM, JTHawaii, mainejoe, softparade, derryb
Bad transactions with : nobody to date
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TomB
Posts: 20,741 ✭✭✭✭✭
If you think the premiums are "outrageous" then you have not spoken to companies like Hugh Wood, Inc that specialize in collector's insurance. I have both dealer and collector insurance through them and my collector rate is something like 0.40% of declared value. In other words, $4 to insure every $1000 in coins. As per ranshdow, my collector coverage also includes coins while in transit (home, post office and bank) though I keep nothing at home. It also has no deductible and requires itemization only on coins valued by me in excess of $10,000. Lastly, there is no requirement for an appraisal by someone else.
That is pretty darn reasonable, in my opinion.
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ShadyDave
Posts: 2,188 ✭✭✭✭✭
Attached is what the ANA Hugh Woods application looks like, including the general inclusions/exclusions. In my experience, it is the most affordable plan for insuring coin collections (and bullion up to 25% without an additional rider) by far and it is very easy to apply and get coverage.
Just a disclaimer, these forms might be slightly outdated and I do not work for this insurance company so do your due diligence and ask a HW representative any questions you may have (these forms are from 2016).
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I have heard great things about Hugh Wood. The insurance company that insures the coins are AXA art insurance.
Does anyone have experience filing a claim? Or heard of anybody filing claims and how was their experience?
What sort of proof will they require us to provide for ownership? I buy and trade coins in shows with no trace, can I include them?
How do they payout, by what value? Retail wholesale or auctions or greaysheet etc.
It seems they also cover accidental damage is that true?
Insurance companies treat you great until you have a claim and all possible exlusions that you did not know starts arising.
Numismatics & Photography
rv@ravenumismatics.com
Instagram.com/coin2photo
Has anyone here made a claim with Hugh Wood? I don't see how they would insure anything without itemizing and an appraisal from a reputable source.....sounds sketchy.
Anyone?
Numismatics & Photography
rv@ravenumismatics.com
Instagram.com/coin2photo
I have not filed a claim but would be interested also if anyone has
Successful transactions with : MICHAELDIXON, Manorcourtman, Bochiman, bolivarshagnasty, AUandAG, onlyroosies, chumley, Weiss, jdimmick, BAJJERFAN, gene1978, TJM965, Smittys, GRANDAM, JTHawaii, mainejoe, softparade, derryb
Bad transactions with : nobody to date
I highly recommend Hugh Wood in New York City. I've been with them for 20+ years continuously. When you store your coins in a safety deposit box, the rates are extremely cheap. At home, it will be more expensive, but still cheap for peace of mind.
For some of the more sophisticated questions, I would recommend you contact them directly and explain the situation and see what they can do.
For dealers, who have changing needs (like a last minute increase for a collection pick-up, or shipping a Stella (like we did two weeks ago to CAC)) above your normal insurance limits, they are very easy to deal with.
Owner/Founder GreatCollections
GreatCollections Coin Auctions - Certified Coin Auctions Every Week - Rare Coins & Coin Values
I typically don't answer these questions about filing a claim with Hugh Wood, Inc because I have never had to file a claim for either collector or dealer policies and also because it is easier, faster and you receive more accurate and complete information if you simply contact them yourself.
In honor of the memory of Cpl. Michael E. Thompson
I haven't filed a claim since 2001, but at that time they were quite accommodating. Still no individual coin listing required even on the claim. All they wanted was a copy of my police report and a notarized written statement from me declaring the amount of my loss. My check was in the mailbox less than a month later.
Thanks very much. How do you and the insurer come up with a replacement cost? TP appraiser such as a reputable coin dealer? I ask because the coins I have in mind have very large variations from price guides.
Excellent question. I have no idea what the claims and valuation processes would be like.
Kelcey Shroyer at Hugh Wood was very helpful. first initial, last name, all one word, lowercase, at hughwood dot com
.55 per $100 would break even if 1 out of ever 200 dollars of insured coins disappeared each year. I'm going to guess that it is a lot less then that so even at that rate, at least to me, it is a large win for the insurance company.
As a collector, I didn't insure my coins as I figured keeping them in the safe deposit box was insurance enough... though I know there are rare cases where folks do have their property lost/damage/stolen from banks. Just wasn't worth the expense to me given how small I felt that risk was with my bank.
That said, as soon as I started dealing in coins and especially once I started dealing with other people's coins on consignment, insurance was a must. I looked around at that time and nearly all I trusted recommended Hugh Wood. I've been with them for several years and I feel it is a fair deal for what they cover. Have not had to make a claim myself (hope I never do), but I have heard the experiences of several others who have made claims with them and have not heard any issues with that.
If it makes you sleep better, join the ANA (if you have not already done so) and give Hugh Wood a call.
Good luck!
Michael Kittle Rare Coins --- 1908-S Indian Head Cent Grading Set --- No. 1 1909 Mint Set --- Kittlecoins on Facebook --- Long Beach Table 448
@illini420
Thanks for sharing your experience
Successful transactions with : MICHAELDIXON, Manorcourtman, Bochiman, bolivarshagnasty, AUandAG, onlyroosies, chumley, Weiss, jdimmick, BAJJERFAN, gene1978, TJM965, Smittys, GRANDAM, JTHawaii, mainejoe, softparade, derryb
Bad transactions with : nobody to date
Insurance is a wise investment for large dollar collections, and Hugh Wood is highly recommended. I self insure, however, would not advise this for most people. My long experience with security measures etc., give me an edge in this area. If not for that, I would insure. Cheers, RickO
What would be the recommended dollar amount to start buying insurance?
Successful transactions: Illini420, Bajjerfan, Coinfolio, Chadc13, Konsole, DM679864, Weiss and many more
I would guess at the point that you feel more uncomfortable with a loss vs. uncomfortable with paying premiums to cover such loss.
In honor of the memory of Cpl. Michael E. Thompson
What @ricko stated
JMHO Self insurance is absolutely the best if you can figure it out and afford it
Successful transactions with : MICHAELDIXON, Manorcourtman, Bochiman, bolivarshagnasty, AUandAG, onlyroosies, chumley, Weiss, jdimmick, BAJJERFAN, gene1978, TJM965, Smittys, GRANDAM, JTHawaii, mainejoe, softparade, derryb
Bad transactions with : nobody to date
My home owners ins covers it regardless of its location, home, travel, SD Box
I insure my collection by keeping a .45 between the front door and everything else.
Doberman is a better idea as they are on 24/7.
I think for RCI insurance Hugh Woods is the way to go. Bank boxes can be broken into (NJ burglary awhile back) and a safe they may have all day work with it or have a wAy cart it off (episode from show Animal Kingdom).
Another threat wb some insider who knows you have coins (stripper sugar baby) and you wake up one night with her criminal, drug dealer, or gang member BF or husband shoving his assault rifle in your face demanding your coins. Be advised they are likely to kill you so any news getting to LE will be delayed. If your moving keep anything indicating your involved w coins out of sight of the movers.
What about for protection against fire or other "natural" disaster ?
@Gazes.....No flooding here, no tornado's, no hurricanes....... Have fire alarm and sprinkler system. Cheers, RickO
Guess I'm the contrarian. I find the rates quoted above outrageously high. I have insurance at about $1.25 per thousand. Differences may account for some of the cheaper cost: some coverage limits outside the SDB, and have a deductible. Check out North American Collectibles Assoc.