Insurance for Museums and Art Galleries

Insurance for Museums and Art Galleries

If you run a museum or art gallery, you’re likely dealing with collections of considerable value that are also vulnerable to loss. In fact, the collections in art galleries and museums are among the most complicated to insure adequately. Working closely with an invested museum insurance professional is critical to maintaining coverage that allows you to promote your gallery or museum with the confidence necessary for continued growth.

Transit Is Your Biggest Risk

The biggest risk to art in museums and galleries, which are designed to store and display fine art safely and under peak conditions, is when the pieces are in transit. Private collectors are often motivated to share pieces from their collections – or even their entire collections – to museums where they’re guaranteed to be viewed and enjoyed (and protected by state-of-the-art security at the same time). In fact, an exhibition in a well-respected gallery or museum can even increase the value of the loaned pieces. Unfortunately, it’s the movement from private owner to your gallery or museum and back again that opens the pieces up to the most potential damage. While you spare no effort in protecting art in transit – and during installation – damage can, nevertheless, occur.

Standard Coverage Is Not Adequate

Your art museum or gallery undoubtedly carries standard coverage, but yours is not a standard industry by any stretch of the imagination. All of the following – and many more besides – relate specifically to your endeavor:

  1. Some works of art are deemed priceless, but for insurance purposes, a price must be assigned.
  2. In the art world, the value of pairs and sets of artwork tends to far exceed the comprehensive value of each separate piece’s value combined.
  3. You invite the public – including the occasional busload of school children – into your museum or gallery to partake of the unique pleasure that art provides.
  4. The exceedingly valuable works you display are routinely transported across the nation – or even the world.

Museums and galleries allow the public the invaluable opportunity to closely connect with art that they would otherwise never be able to enjoy, and as such, you provide an extraordinary service, but this also translates to extraordinary challenges when it comes to insuring the art you display. Standard coverage is simply not up to the task.

The Art Museum and Gallery Community Is Diverse

The community of art museums and art galleries out there is quite diverse, which means museum insurance products must be nimble and responsive to every manner of museum and gallery, including all of the following classifications:

  1. Corporate collections of fine art
  2. Collections in commercial settings
  3. Collections in educational settings
  4. Collections in specialized institutions
  5. Collections in venues of all sizes
  6. Collections managed by dealers
  7. Regional collections

Further, galleries and museums incorporate all of the following critical components when it comes to safeguarding their collections:

  1. Highly specialized transit concerns
  2. Specialized concerns related to the exhibitions themselves
  3. Installation concerns
  4. Exacting art storage concerns

In other words, it’s difficult to overestimate exactly how complicated and important it is to obtain museum insurance coverage that accommodates your museum or gallery’s unique needs. 

Addressing the Issue of Theft

The valuable collections in art museums and galleries are subject to many kinds of loss that include theft. Even with state-of-the-art security systems, theft happens, and it’s rarely the kind of elaborate heists we see in the movies. In fact, most art-related theft is predicated on opportunity, and the associated losses are often never recovered. Because museums and galleries welcome the public, tend to have many employees (and may even have volunteer staff), and – overall – have lots of working parts, theft can be an issue.

Your Art Collection

The art you display in your museum or gallery is not only extremely valuable but also plays an important role in society. Art is representative of evolving civilization, and it speaks a unique language of its own – a language that says many different things to many different people. Because the valuation of your collection is about so much more than how much each piece might sell for, the nuanced overall value of the collection – and the pieces that comprise it – must be assessed in relation to its organic value, which is not only a tall order but is also elemental to your ability to fully insure your museum or gallery. 

Explore Your Coverage Options with An Experienced Museum Insurance Professional 

Art museums and galleries require specialized insurance that addresses the enterprise’s unique needs. At FACE, Fine Art Collectibles Enterprises, we appreciate your commitment to sharing the fine art experience, and we echo that commitment in our concerted efforts to help you protect your collection from every manner of loss. Learn more by contating the dedicated museum insurance professionals at FACE today.

Frequently Asked Questions

Your should contact the police as soon as possible. The quicker you act, the faster the authorities will be able to collect information regarding your stolen item. Your insurance agent should also be notified right after you have made contact with the police.

The most common way art is stolen is Burglary. It’s important that your installations have proper security in order to prevent these crimes from happening. Its also very important to make sure that the staff you higher to give your building maintenance has a clean record and has no criminal history.

Its responsibility of the insurance carrier to work with the FBI to recover the art that was stolen. It’s possible that you may be asked to work with the corresponding authority.

If your valuable art items are not insured, your efforts will have to be focused on working with the authorities to recover your stolen items. The odds of recovering your stolen items is very low.

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