Wine is a delicate investment. A simple a slip and fall could turn one of your most precious bottles into a puddle on the floor. When you consider some of the other threats to your collection (theft, fire, power outage, flooding, earthquake, etc.), it's apparent that there is a lot at stake.
|Fortunately there are a select few insurance carriers that are capable of insuring wine collections. Cincinnati and Chubb are perhaps the most well known carriers providing broad coverage for wine collections. Unlike personal property coverage under a standard homeowners policy, wine collection coverage has an agreed value settlement, mechanical breakdown coverage, no deductible, breakage coverage, and more. Wine collection insurance also extends coverage world wide and while in transit.
The coverage is not only broad, it's reasonably priced as well. A common rate in the Alexandria, VA area can range from 35 to 50 cents per $100 of insured value. Whether you're an avid collector or just enjoy a glass of the finest on special occasions, that is a small price to pay to protect your collection.
Before pursuing coverage, here's how you can get organized:
(1) Create an inventory list. Know the contents of your collection, and be sure to update the list as bottles come and go.
(2) Document your equipment. When an underwriter is reviewing your application for coverage, they'll want information on the storage conditions and the equipment to maintain those conditions. The better the conditions, the better the rates you'll receive.
(3) Have your collection appraised. An appraisal will ensure that your collection is covered for the proper amount. This information will be particularly important if you plan to itemize coverage.
(4) Contact an independent agent. A local, independent agent is going to be your best resource for guidance and assistance with securing the proper coverage.