06 Dec Insurance for Expensive Holiday Items
Have Some Big-Ticket Items On Your Holiday Gift Giving List This Year? It Could Be Wise To Insure Them!
We know it may seem hard to believe, but this year’s holiday season is upon us! It’s time to put the final plans in motion for your annual holiday party, finish up researching the perfect gifts for each member of your family, and hang up those last few decorations inside and outside of your home.
This is certainly a busy time of year, but also very exciting. For many of us, the holiday season puts us into an uber-giving mood! In fact, chances are you’re planning to surprise a family member or someone special with a gift that is sure to make a big impression – maybe an Omega watch, a beautiful piece of original artwork, or even an engagement ring.
At HUB International, we completely understand why checking off presents from your holiday shopping list is at the forefront of your mind right now. But, as your local insurance professional, we also want to ensure that protecting any valuables you plan to give, as well as any you may receive over the holidays, is also top of mind. That’s why we’re using this blog to answer an important question you should be asking yourself – what gifts should I insure and how? We will also share with you how properly insuring those unique and expensive gifts can give you peace and joy through the holidays and into the New Year.
Don’t Let Anyone, or Anything, Foil Your Jolly Holiday Mood!
You’ve just gotten back from a day of extremely successful holiday shopping and you are admiring your purchases while enjoying a cup of steaming hot cocoa, or something a little stronger, with your feet up by the fireplace. But wait, don’t get too comfy yet. Whether you’re gifting an expensive watch or a pair of diamond studs to your daughter, a collectable antique to your wife, or some signed sports memorabilia to your son, these valuable items might be difficult to replace should they be lost, damaged or stolen.
It’s perfectly reasonable for you to assume that your own homeowners, condo or renters insurance policy has enough personal property coverage in case something happens to these items before or after the holidays. And you would be partially right… While your standard policies will certainly include some coverage for basic personal belongings, your policy may set limits on the amount covered for several broad categories such as jewelry, furs, and precious stones just to name a few. Basically items valued over $2,000 or more could require additional protection to recoup their full value.
If you’ve purchased or received some items that you believe may not be covered by your existing insurance policy, don’t worry! Your HUB International professional can make sure that there are no gaps in your coverage by helping you purchase an additional policy – also called an endorsement – that is specifically designed to protect these high priced gifts. There are a variety of endorsements that we can review with you that can provide further coverage for expensive items in your home, like those valuable holiday gifts, and often include coverage for accidental loss as well.
At HUB International, we like to think of an endorsement as a mini insurance policy that is customized for a specific item or group of items. Yes, the purchase of this additional policy will likely increase your premium; however, in the event of a claim, there will be no deductible. Depending on what you have to replace, this means you can get reimbursed for exactly what you paid for this item so you can go out and purchase it again and/or put your money towards something similar. Our insurance team highly recommends that you schedule each individual valued item, or in this case gift, through a special insurance endorsement called Scheduled Personal Property.
‘Tis The Season To Give Your Insurance Agent a Jingle
To ensure that your holidays are memorable – in a good way – and that all gifts, whether given or received are sufficiently protected, HUB International, with some additional insights from the insurance professionals at the Insurance Information Institute (III), has put together a list of easy-to-follow tips:
1. Consider Having All Your Valuable Items Appraised
Many collectibles and luxury items appreciate as the years pass, so it’s critical to have appraisals done on a regular basis. If your item does appraise at a different value, it’s important to share this with your HUB International agent immediately so they can make sure that your premium and your replacement cost value appropriately reflect this change. This is the only way you can be confident, in the event of a future claim for theft, loss or other unexpected event, that you will receive the current market value for your items. Wondering where you can get an appraisal done? HUB International is happy to recommend a local appraisal firm.
2. Create an Inventory of Your Valuables
It’s always important for homeowners and renters to have a recent home inventory of everything you own. However, when you have precious items and valuables in the home, it is even more critical to create and keep a detailed list. Be sure to file away copies of your receipts, appraisals, product specific serial numbers and any and all photographs of your items in a secure place. These pertinent details will help your insurance agent in the event of a loss and potentially speed up the claims process.
3. Store Valuables in A Secure Location
Protect your items of great value – whether they are financially or sentimentally special – by storing them in a secure location in your home, such as a fire and water safe locked box. Or, consider stowing those expensive items you do not use regularly, like a stamp or coin collection, or wear less frequently, like heirloom jewelry, in a safe deposit box or “in vault” at your local and trusted bank. Many of HUB International’s insurance partners offer specialized in vault coverage with a reduced premium on scheduled items. Plus, you get increased security and safety for your precious belongings.
When considering insurance for valuable items, you might be thinking of items such as jewelry, furs, fine arts, collectibles, coins, memorabilia and other treasured items. But what about those slightly less obvious holiday gifts that may warrant extra insurance as well? Some additional items on this list may be:
- Scooters or Kids’ Power Wheels
- All-Terrain Vehicles (or ATVs) such as quads, dirt bikes, jet skis and snowmobiles
- Toy Drones
These adrenaline-pumping vehicles and motorized toys bring their own set of unique hazards and it is important to know that not all insurance policies provide coverage in the event of a loss or usage-related injury. If you are gifting or receive any of these items, HUB International strongly recommends that you consider adding a personal umbrella policy or recreational vehicle coverage to safeguard you and your loved ones in the event of a claim.
Shop Smarter This Holiday Season By Reviewing Your Policies With HUB International
Whether you are still in consideration mode for purchasing that expensive holiday gift – or two – or you have already put a dent in your credit card hoping to put a big smile on a loved one’s face, now is a great time to contact your HUB International agent. Our professionals will review how much personal property coverage you have under your current homeowners, condo or renters insurance which will help us determine if you require an adjustment to this amount and/or an additional endorsement, such as a Scheduled Personal Property or a Jewelry and Fine Arts Rider. Also, don’t forget to contact us after the holidays are over to review the value of any special purchases you make throughout the New Year, because it’s always wise to insure any big-ticket item you buy for yourself or receive as a gift.
If you are ready for a more personal relationship with a trusted insurance agent who can help you protect everything under your roof, call us today at (800) 243-8134 or stop into any one of our three convenient Massachusetts offices. From all your friends at HUB International, we are wishing you and your families a safe and happy holiday season and a prosperous New Year!