Saving on insurance for high value collectables
For clients WHO have collections of art, jewellery or other valuables that they insure, the current economic downturn might mean they are looking to make savings on their insurance.
While cutting back on the amount of cover held might be a tempting way to save money, this could see you losing out if you need to make a claim. For example, a client who reduces the total value of contents insured or leaves certain items out of the policy in order to save £2-300 on their premium may later find themselves losing thousands of pounds if they lose an uninsured item or incur a total loss that is above the amount insured.
However, there are other ways you can save money without risking reducing your level of cover. Smaller claims can be as time-consuming as larger ones for insurance companies to process, which makes them costly to cover; so one way to reduce a premium is to agree a higher excess (the fixed amount the client must cover themselves per claim).
With a higher excess, the insurer should be able to reduce their premium since this will lessen the number of smaller claims that are likely to be made.
It is important to set your excess at an amount you are comfortable with and that you could easily afford to pay in the event of a claim. Excesses can be whatever you want them to be and the higher the amount, the bigger the discount can be. Insurers will always look favourably on clients who have a good attitude to risk and by "self insuring" the first part of a loss shows that clients are not interested in making lots of small claims.
On certain policies, you can opt for different excesses to be placed against sections of your policy. For example, you may be happy to carry a £2,500 excess on your buildings cover but would prefer a lower amount on your contents and fine art.
A personal insurance review by one of the Oval Private Client Managers could restructure your policy to a more bespoke tailored programme that will suit your individual requirements.
To find out more, please contact Simon Ambler on 0121 237 1737 or email simon.ambler@theovalgroup.com
www.theovalgroup.com/private-clients [http://www.theovalgroup.com/individual/insurance]
While cutting back on the amount of cover held might be a tempting way to save money, this could see you losing out if you need to make a claim. For example, a client who reduces the total value of contents insured or leaves certain items out of the policy in order to save £2-300 on their premium may later find themselves losing thousands of pounds if they lose an uninsured item or incur a total loss that is above the amount insured.
However, there are other ways you can save money without risking reducing your level of cover. Smaller claims can be as time-consuming as larger ones for insurance companies to process, which makes them costly to cover; so one way to reduce a premium is to agree a higher excess (the fixed amount the client must cover themselves per claim).
With a higher excess, the insurer should be able to reduce their premium since this will lessen the number of smaller claims that are likely to be made.
It is important to set your excess at an amount you are comfortable with and that you could easily afford to pay in the event of a claim. Excesses can be whatever you want them to be and the higher the amount, the bigger the discount can be. Insurers will always look favourably on clients who have a good attitude to risk and by "self insuring" the first part of a loss shows that clients are not interested in making lots of small claims.
On certain policies, you can opt for different excesses to be placed against sections of your policy. For example, you may be happy to carry a £2,500 excess on your buildings cover but would prefer a lower amount on your contents and fine art.
A personal insurance review by one of the Oval Private Client Managers could restructure your policy to a more bespoke tailored programme that will suit your individual requirements.
To find out more, please contact Simon Ambler on 0121 237 1737 or email simon.ambler@theovalgroup.com
www.theovalgroup.com/private-clients [http://www.theovalgroup.com/individual/insurance]
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