Does Renters Insurance Cover Collectibles

As with all insurance policies, the terms of the policy are extremely specific, which means that collectables may or may not be covered, based upon the terms of your coverage.

Renters insurance typically covers the basic personal property, personal liability coverage, and temporary living expenses if your home becomes uninhabitable. Therefore, when it comes to valuable collectables, a basic renters insurance policy probably won't be enough to cover the amount it would cost to reimburse a collection if it's damaged or stolen. Collectables can be things like a coin collection, a painting collection, a fine art collection, or a stamp collection. That being said, as collectables are not considered under everyday items, and the fact that collectables may be extremely valuable, regular renters insurance does not typically cover collectables. That being said, most renters insurance companies will allow you to add additional coverage for your collectables. This includes getting additional insurance to have the items covered or having the collectable items appraised to receive their full value in the case of theft or property damage.

What Is the Difference Between Personal Property and Collectibles

Personal property is typically covered under regular renters insurance up to a certain limit. Personal property is defined as everyday property such as furniture, clothing, and sometimes clothing and computers and TVs. Therefore, these personal items are usually more of things that make up a typical household. An example is if there is a leak in the roof and your furniture gets damaged, that piece of furniture can be covered by insurance. This means that the insurance company will reimburse you for that item up to the coverage limit and after that limit is reached you must cover the rest with a deductible. On the other hand, collectables are on a much different scale. They are not typically everyday items or items that are needed in your daily life. Collectables can be things like a coin collection, a painting collection, a fine art collection, or a stamp collection. As these items are typically more valuable than everyday items, they, therefore, require a larger insurance policy to cover.
does renters insurance cover collectibles

When Does Renters Insurance Cover Collectibles?

All insurance policies are different, so to determine if you collectable are covered under your policy, you must determine how much your insurance policy covers. Typically, your insurance policy covers up to a certain amount, so if your collectable values are worth a lot, then they will only be covered by the insurance up until a certain amount. For example, if you have a collection of fine jewellery a basic renters insurance policy may not fully cover the cost of replacement if it gets lost, damaged, or stolen. Most renters policies will set a specific limit for jewellery coverage, sometimes as low as $1,000, so if your collection exceeds that then you should consider adding additional coverage. Therefore, to increase coverage and make sure that all your valuables are being covered, it is a good idea to take inventory, determine what needs to be insured, and how much you will need to increase your policy.

insurance for collectables

How To Cover Your Collectibles Through Renters Insurance

If your basic renter's insurance does not cover your valuable collectables there are measures that you can take to make sure that you will get your money's worth in case of theft or property damage. Getting this additional coverage is not as expensive as you would believe. First things first, you must take an inventory of the entire collection to learn how much coverage you will need. Next, you should get an appraisal. An appraisal is a way to document the cost and value of your collectables if you do not have the receipts for your collection. Professional appraisers can be found and hired online. Finally, you can determine what you want to be insured. Once you have all the costs and figures together, you can determine which policy you want and what you want to be covered. If you need any additional help in determining what policy you need, an insurance broker can advise you on which types of renters insurance would be best for you.