If you know the difference between Cote de Nuits and Cote du Rhone chances are you’re a wine enthusiast. If you store your wine in bond, you’ve transferred the responsibility for insuring your collection to your supplier. If your prized wines are at home, it’s imperative to review your coverage. According to 3 of the top 5 affluent home insurance carriers in the world, wine is one of the most frequently uninsured and undervalued valuables in a home.
The most important step to properly insuring your collection is valuation. Check with your insurance broker on policy specific guidelines in regard to appraisals and proof of value at the time of a loss. You’ll want to understand if coverage is based on stated amount or market value at the time of loss. Ideally, your carrier will allow you to state the value of your collection. In some cases you may be required to provide updated appraisals every 3-10 years depending on your carrier. Your carrier/broker should also be able to provide resources on who can provide appraisals for your wine collection.
Chubb Insurance continues to lead the market for insuring high value wine collections, and their policy guidelines are among the broadest. Depending on your state, your collection will be covered based on your stated value amount. Only items valued at $25,000 will require an appraisal, and you’ll only need to update that appraisal every 3 years.