From antique boats and classic cars to limited edition artwork and vintage wines, some things are worth collecting. They’re special, which is why Alison Jones, manager of KRGinsure’s Orillia branch, says they should be insured in a special way.
“As your net worth increases, so do your liabilities and valuables,” says Alison. “ Those items should be adequately insured with a tailor-made insurance package.”
It can be complicated to navigate the ins and outs of insurance coverage for specific belongings, but that’s where you want to work with an experienced broker. After all, Alison says, it’s important that your insurance is as tailored to your life as your favourite items are.
Don’t simply increase your value limit
But if you acquire new treasures, can’t you just increase the monetary value of your coverage? Unfortunately, it’s not quite that simple. “Just increasing the dollar value can still leave gaps in your coverage,” says Alison, noting that your existing insurance may not cover specialized items or collections. Instead, you should work with a brokerage that can create a new high-value insurance policy for those items.
“I often ask clients, ‘can you afford to replace this item or collection, should it be damaged tomorrow?’ If the answer is no, I seriously suggest purchasing coverage for it. It’s the only way to be safe,” she says.
At KRGinsure, Alison and her team of highly trained brokers work with insurance companies that specialize in providing exceptional insurance products to high-net-worth individuals, and understand the uniqueness of the items in your house, cottage, boathouse, and garage.
Together they can offer unique policy options that can be tailored to your belongings and lifestyle.
Protect against losses with umbrella coverageWhile high-value coverage can cover coveted collections, like your superb wine cellar or an art or jewellery collection, this type of insurance can also be used to cover specialized losses.
One of the best policy options for high-net-worth individuals is an umbrella insurance policy, says Alison. “If you have a high net worth, you not only have expensive assets, you’re also at a significantly higher risk of being sued.”
While none of us ever dream of being sued, Alison says unfortunate circumstances can arise at any time, with devastating financial consequences.
“Imagine, you agree to host a charity function at your home and your back deck collapses, injuring your guests. Or one of your teen children is involved in a cyber-bullying incident, and their parents sue you and your child for inflicting emotional harm,” says Alison. “Or you and your spouse are in an auto accident that injures the passengers in the other car.”
While automobile and homeowner’s policies will pay for many damages, these policies will cap out once the policy limits on your home/auto policy have been exhausted, leaving any additional damages to be paid out of your pocket and assets – that is, unless you have an umbrella policy.
“A specialized personal umbrella policy with liability coverage will kick in after your primary insurance limits are exhausted,” says Alison.
Fortunately, KRGinsure works with several insurance providers that specialize in personal umbrella policies that have limits in excess of $10 million and can be customized specifically to your situation.
Making it personal
To get a quote, you don’t need to fill out a survey online.
“Simply give us a call, and we’ll walk you through the options, help you figure out exactly how much coverage you need, and then get the quote for you.” Not only does going through a broker simplify the initial quote, but it also gives you consistent contact with a representative who knows you and your situation.
“With us, it’s personal. We’re here to answer any question, whether you’re looking for an expert opinion on how to manage and minimize risks, or advice on how and when to file a claim.”
KRG has been insuring high-net-worth clients and their belongings for over 30 years, and is in tune with the best options to keep their clients’ valuables and lifestyles safe. “We’re here to give you peace of mind.”
TEXT SHELANNE AUGUSTINE
