The value of individual and collective items is how insurance companies calculate what premium to charge. If insurance companies do not receive the correct premium due to values being incorrect, they will not pay the full value of claims.

We always recommend our clients have their Valuables, Art and Collections appraised very 3-5 years.

Two recent examples of why you should have your items valued:

• We were asked to quote for a new client and amongst other things they had a whisky collection that they continually added to. When discussing value, the client estimated around £600,000. Following our recommendation, the client had a professional valuation carried out and the value was actually £2,000,000.  Had the client not had the valuation and suffered a loss the collection would have been 70% underinsured. This would have meant they would only receive 30% of any claim. In this case, had they lost the entire whisky collection (£600,000) insurers would only have paid out £180,000 as they had only received 30% of the premium they should have paid for the true value of £2,000,000.

• Unfortunately, items do not always increase in value. Following a recent valuation of a clients antique furniture we had to reduce the value for insurance from £500,000 to £280,000. The benefit of this was a significant saving on their insurance premium.
  
  

Having a detailed valuations of items also makes the claims process much smoother and faster.

Harrison Law, Cert CII, Head of Commercial & Private Clients,
Cox Mahon, specialist insurance brokers

Get in touch with Cox Mahon for advice about your insurance needs : 

Fine Art & Valuables Insurance Brokers | Cox Mahon