Insuring Your Home's Artwork: Necessary?

Whether you should insure the artwork in your house depends on how much it is worth to you. If you have an emotional connection to the piece or it has significant financial value, it is worth insuring. While you may treat your art with care, there is no guarantee you can protect valuable works from damage inflicted by others or natural disasters.

Homeowners insurance does provide some coverage for collectibles or artwork, but there are often limits that may require adjustments to your policy to ensure full-value coverage. If you want broader and more specialised coverage for your art than what can be obtained from your homeowners insurance company, a separate fine art collectors' policy is a better option.

Home insurance vs separate art insurance

Home insurance policies do cover the cost of rebuilding your home and your belongings, but there are limits to how much they insure your valuables for. Artwork is often among the categories with lower coverage limits. For example, if your policy covers your personal property up to $150,000, your coverage for a single piece of artwork might be limited to $2,500.

If you have valuable artwork, there are two main ways to increase your coverage:

• Scheduled item coverage: You can add scheduled items directly to your home insurance policy. This means that a specific item is insured for a specific amount. This option provides more coverage for your artwork but still has a single-item limit.
• Personal articles policy: This is separate from your home insurance policy but can provide additional coverage for your valuables. For example, your home insurance policy might cover up to $150,000 for your personal property, while your personal articles policy can provide separate coverage for $50,000 worth of itemized valuables, including artwork.

Art insurance, on the other hand, is a separate policy that tends to offer much higher limits and covers a broader definition of "art". It also protects against more risks, including damage and theft, and offers better appraisal and claims support. Art insurance is best suited for those with valuable pieces or extensive collections. Generally, a piece of art is considered valuable if it is worth more than $50,000, but it can also include pieces that are irreplaceable.

Art insurance policies typically offer three types of coverage:

• Scheduled: Individually itemized, where each piece of art has a different value and coverage.
• Blanket: The whole collection is protected with a per-item maximum.
• Combination: Schedule some pieces and leave the rest under a blanket policy.

When deciding between home insurance and separate art insurance, consider the value of your artwork and whether it qualifies as a "valuable" item. If you have multiple pieces that exceed a certain value (e.g., $10,000 each), it is advisable to consult an agent or firm specializing in fine art insurance. They can help you determine the best coverage for your needs and provide personalized attention and expertise.

Additionally, review the exclusions and limitations of your home insurance policy to understand what is and isn't covered. Some policies may specifically exclude the theft of artwork or have other restrictions that a separate art insurance policy might not have.

In summary, if you have a valuable art collection or individual pieces worth a significant amount, separate art insurance is likely the best option to ensure proper coverage and protection.

What to do if your artwork is lost in shipping

Shipping artwork is a delicate process that requires careful planning and packing to avoid damage during transit. Here are some detailed instructions on what to do if your artwork is lost during shipping:

• Contact the shipping company: Get in touch with the shipping company as soon as possible and inform them about the lost shipment. Provide them with the tracking number, delivery address, and any other relevant information. Ask them to start an investigation and keep you updated on the progress.
• File a claim: Most shipping companies offer insurance for lost or damaged items. File a claim with the shipping company to recover the value of the lost artwork. Provide them with all the necessary documentation, such as proof of value, ownership, and shipping details.
• Communicate with the recipient: If the lost artwork was intended for a client or gallery, keep them informed about the situation. Express your apologies for the delay and assure them that you are taking the necessary steps to resolve the issue.
• Consider alternative shipping methods: Evaluate the shipping methods you used and consider alternative options for future shipments. For valuable or fragile artwork, it may be worth using specialised art shipping services or couriers that offer tracked shipping and insurance for artworks.
• Take preventive measures: To minimise the risk of future losses, implement preventive measures such as using trackable shipping services, insuring your artwork during transit, and choosing reputable shipping companies that handle artworks with care.
• Document and learn from the experience: Document the entire process of dealing with the lost artwork, including your communication with the shipping company, the recipient, and any relevant paperwork. Use this experience to improve your shipping processes and reduce the chances of similar incidents in the future.

How to keep your artwork safe at home

Keeping your artwork safe at home is essential, especially if you have invested a lot of money into it. Here are some ways to ensure your artwork is protected:

• Consider insuring your artwork: Accidents can happen, and it is better to be safe than sorry. While your homeowners' insurance may cover some of the costs, it is worth looking into specialist fine art insurance to cover restoration and depreciation costs.
• Hire a professional art hanger: They will know the best way to hang your artwork, ensuring it is secure and does not fall.
• Be mindful of where you hang your artwork: Keep it away from direct sunlight, which can cause irreversible damage, and avoid hanging it above a fireplace, where it will be exposed to smoke and heat damage. Also, consider hanging it away from doors and ventilation, to prevent damage from sudden gusts of wind or rain.
• Monitor the temperature and humidity: The ideal temperature to store artwork is between 65 and 75 degrees Fahrenheit. Humidity should be kept at around 55%.
• Be careful when handling artwork: Always wear cotton gloves when handling artwork to prevent damage from fingerprints and natural oils.
• Keep your artwork clean: Use a soft, non-abrasive cloth or microfiber towel to clean the glass or acrylic panel protecting your artwork. Use a soft feather duster to dust off unframed paintings.
• Store your artwork correctly: If you need to store your artwork, keep it flat, and use acid-free materials to prevent damage. Place something between each piece to protect them from potential creasing and curling. Store your artwork in a cool, dry, dark place.
• Install smoke detectors: Ensure you have smoke detectors installed in your home to protect your artwork in the event of a fire.

How to prove your artwork's value

There are several factors that can help prove the value of a piece of art. Here are some key considerations:

Artist

The artist is one of the most important factors in determining the value of a piece of art. The reputation and influence of the artist, as well as their historical following, can significantly impact the monetary value of their work. Well-known artists with a rich history of collection can command higher prices. Additionally, the artist's output matters; artists who have produced a limited number of works tend to have higher-valued pieces.

Medium and Condition

It is essential to identify the medium of the artwork, such as an oil painting, acrylic painting, drawing, print, sculpture, or photograph. Original paintings on canvas or panel are generally considered more valuable than other mediums. The condition of the artwork is also crucial; any visible damage, repairs, discolouration, or structural integrity issues can significantly impact its value. An artwork in pristine condition will generally be valued higher.

Subject Matter and Style

The subject matter of the artwork can influence its value. Certain subjects that are typical of the artist or have historical or art historical significance tend to be more valuable. Additionally, a pleasing or commercially popular subject can be more valuable due to its wider audience and salability. The style of the artwork also matters; collectors usually seek out paintings executed in a style typical of the artist.

Size

The size of the artwork contributes to its "wall power", with larger pieces often being more valuable. However, it's important to consider whether the size limits its salability, as a painting that is too large or too small may not command the same price as one that fits more standard spaces.

Date and Provenance

The date of creation is crucial, as artwork created soon after the conception of a particular style tends to be more valuable. Additionally, for certain artists, the most valuable works are those created during or soon after their main creative period. The provenance of the artwork, or its ownership history, can also impact its value. Works from notable collections or those that have not been on the market for some time can attract higher prices.

Market Demand and Trends

The demand for a piece of art can fluctuate its value. It's important to consider the liquidity or marketability of the artwork, as well as current market trends and the popularity of certain artistic movements or regions. Auction archives and price guides can provide valuable insights into current sale and auction prices, helping to establish an approximate value.

Comparables

Comparing your artwork to similar pieces that have been sold can provide a benchmark for its value. It's important to consider factors such as the sale price, medium, size, subject matter, and the artist's reputation when making these comparisons.

Appraisal

Consider seeking the expertise of a trained appraiser who can evaluate your artwork and provide a written statement of its value. Additionally, auction houses sometimes host free "open house" days where staff members can share their expertise, or you can mail them photographs and information for their assessment.

What to do if your artwork is damaged

If your artwork is damaged, the first thing to do is document the damage. Take photographs of the damage, the packaging, and the artwork itself from multiple angles and distances. If possible, film the entire unboxing and inspection process. This documentation will be critical in proving that the damage occurred before the artwork arrived at your home, and will be useful evidence if you need to make an insurance claim.

Next, contact the seller or gallery from which you purchased the artwork, and send them all the documentation of the damage. They may ask for additional information, such as a condition report, so be prepared to provide as much detail as possible. The gallery's insurance will typically only apply if the artwork is completely destroyed, in which case you should receive a full refund or a replacement piece. Otherwise, they may attempt to fix the damage, either by sending the artwork back to the artist for repairs or to a local specialist.

If the gallery is uncooperative or unable to resolve the issue, you may need to contact your insurance company, especially if you have a separate fine art insurance policy. They will assign a conservator and send an adjuster to assess the damage, after which the conservator will create a treatment proposal for your approval. Once the artwork has been repaired, an appraiser will assess it for loss of value, and you may be entitled to compensation depending on the extent of the damage.

Finally, remember to update your insurance policies and coverage limits as needed to ensure that your artwork is adequately protected.

Frequently asked questions