A total loss

[cardz1976]

Well a friend of mine arrived home after being taken out for a birthday dinner by a good friend of his (a few days after the bday) to find that his house was on fire. The panic was on at that point when he couldn't find his mom and it was quite tense for the next 15 mins while they tried to find her and make sure she was ok. Finally there was a phone call that confirmed she was alive and well and just a few streets over at a friends house completely unaware what was going on. After getting the best news of his life the reality of the situation set in to the fact that the world he knew was now gone. The house and all contents was a total loss and the kicker of everything was the fact that all the memories that he has been able to gather over the years were up in smoke.

To pull the story over the hobby..... he was a collector. Not your average card collector ripping box after box but he collected everything Red Wings. Every McFarlane that was of a Wing he had signed (of those who were alive) plus all of the larger stars such as Ovie and Sid to name a few. He had one of a kind pictures signed by the players all sorts of framed artwork signed jerseys and sticks, you name it he would have it.

Now altho completely brought to his knees by this situations he simply said he will rebuild. He has a very positive and upbeat attitude and is looking forward to trying to get things back into his collection.

There is a huge problem and you have probably guessed it ---insurance---. He is not sure what they will cover and what they wont but they are leaning toward not collecting too much of his keepsakes.

I just wanted to pass this along to those of you who have never thought that something like this could ever happen to them. A fire safe might not be too bad of an idea or making sure that there is a rider on your insurance to cover your collections.

 

[MMarch]

That is very sad to hear. I wonder how many people out there don't have their collections insured. Collectibles are not covered by most home owners policies unless you have everything documented and on file with your agent, and you usually need an extra "rider" on your policy. It's a pain in the butt because you have to constantly update your documentation when you buy or sell something, but it's a situation like this where it could really save your bacon.

 

[Sensrookie]

Wow, that would be a real bummer. At least everyone is safe.

 

[ginx86]

That is very sad to hear. I wonder how many people out there don't have their collections insured. Collectibles are not covered by most home owners policies unless you have everything documented and on file with your agent, and you usually need an extra "rider" on your policy. It's a pain in the butt because you have to constantly update your documentation when you buy or sell something, but it's a situation like this where it could really save your bacon.

When I was a kid I lost a bunch of comic books to a fire at my dads house so I know how much it sucks to lose a collection like this. I had no real proof of their value so when it was all said and done my Dad's insurance paid out $75 for a collection that was worth several thousand.

When we first bought our house the first question I asked our insurance guy was about two things, coverage for my guitars, amps, mics, etc. and my card collection. We didn't need an extra "rider" but he recommended we take pictures of everything I would want to be able to recover in case of cautostrophic damage to the house and then throw the memory card in a fire proof safe so that we'd have date and time proof of ownership.

 

[kennycolwell]

Sad story but good to hear everyone is ok. I do have a question about insuring hockey cards. What's to prevent somebody from jacking images of the web of high value cards, saving them to a memory stick, and throwing them in a fire proof safe?

There would be quite the difference between my modest collection (worth $2k if that) then if I saved a few key Cup card pictures.

 

[Jester240]

Sad story but good to hear everyone is ok. I do have a question about insuring hockey cards. What's to prevent somebody from jacking images of the web of high value cards, saving them to a memory stick, and throwing them in a fire proof safe?

There would be quite the difference between my modest collection (worth $2k if that) then if I saved a few key Cup card pictures.

Just cause you have a memory stick of pictures doesnt mean they will take that as proof that you had them. It is a nice first step but I back up my bigger purchases by printing out paypal payments to show I owned it and what it may sell for.

 

[Krakenfan]

That happened to me about a year and a half ago. Just make sure you have a complete list of the most important parts of your collection, I was fortunate enough to have a addendment on my policy.

 

[cardz1976]

They are just starting the long process of getting things listed for the insurance and seeing what will be allowed and what wont. He knows that it will be a long process but is upbeat about it and the only thing that has really troubled him was the fact that he had met a boat load of players and had his picture taken with them which are now all gone. Most items could be replaced over time but meeting all the players probably wont happen again.

 

[ginx86]

Just cause you have a memory stick of pictures doesnt mean they will take that as proof that you had them. It is a nice first step but I back up my bigger purchases by printing out paypal payments to show I owned it and what it may sell for.

I wasn't saying it was the only way to protect yourself but its a good form of proof. I've never spent a whole lot on ebay so I've never kept up with those receipts but when it comes to the higher ticket items in the house I have those receipts stored in the box with the memory card.

Probably a thousand ways to protect yourself, unfortunately most of the time we don't talk about them until after the fact.

 

[stjust33]

if he collected cards and not just memorabilia, shoot me a PM with his name and address, and I'll get some wings cards in the mail to him to restart.

 

[rookjunkie]

My job is an insurance broker (during the day when I am not batman)...seriously, that's what I do for a living.

Tell your friend to call his insurance guy and figure out how much coverage he has. All home policies will cover Sports cards/memorabilia up to a certain amount.

The range is between $2,000 to $5,000 usually. If you want more you would have had to pay for it as an extra. But the basic amount is built in. They will likely want some kind of list of the cards/figurines and the current market value.

In a case of total loss like this (house, furniture, clothing, electronics, memorabilia, etc) it is going to be a long and arduous process to get proper compensation. I surely hope your friend has kept pictures of his collection (not to mention some pics of his house).

Insurance adjusters are usually pretty understanding and in a devastating situation like this they will want to deal with fairly and expediently as they do not want bad press. As long as your friend and his mom are being fair and reasonable, I think they will find that the adjuster will also likewise be easy to deal with. Most adjuster should have a reasonable idea as to the value of cards. If you happen upon one that is entirely clueless, you can always cite ebay as example of how much your card is worth. I really don't think any adjuster would go by BV of a guide like Beckett...though you never know.

If he ever needs any advise on how to handle the claim process, feel free to shoot me a PM.

Best of luck to your friend.

Will

 

[Dornhoffer]

when I sit and think about it...If I lost my collection , would it change my life , or my quality of life , absolutely not so why insure it. It's a hobby. His mom's okay , Thats what matters

 

[netsinah]

I hate to hear stories like this but unfortunately it's all too common (house fires that are complete losses). As for proving what you had for contents, I always recommend that people take a detailed video of what's in the house...poking into all drawers and every other nook and cranny, to be complete. While doing the video, provide an audio commentary of anything that comes to mind about where things were bought, when and for how much and if paid by visa, etc. (whatever details can be remembered). That's moreso for the bigger ticket items. This process will take a while but it's MUCH BETTER than sitting down after the fact and trying to remember if you had 12 settings of fine china (or was it 10?) and if you had a 40 inch or 32 inch television in the den...amongst the other 18,568 items that used to be in your house and you'll NEVER REMEMBER them all or even close.

A video with a date stamp on it, will be more acceptable to your insurer, when it comes to satisfying the insurer what items were in your collection. It's not foolproof, but I'd say it's better than pictures or things stored on a computer memory stick.

Keep the video in a safe place outside of your home...

 

[slave13]

I have an extra Policy with State Farm on top of all of my other insurance. I think it costs me about $4 a month for an extra $8000 of coverage. I know that amount is nowhere near the total of my collection, but it is better than nothing. If I went higher than that, they would have to come in and catalogue my collection. So, I have left it at this just for the simple fact that it is easier. It is just a bit of peace of mind really, that I will get something back to start anew, in the event of something like this.

 

[GoCanGo]

Thankfully everyone's fine!

The memorabilia are just pieces of material. There's always some sentimental value attached to it, but in the end, they can be replaced to some extent. The rest remains in memory. Sucks to lose it all, but it's not the end of the world.

My financial situation being very tight though, I'd be quite mad about losing my entire collection. I don't have 15-20k, but I have about 1.5-2k worth, which is still quite considerable for a university student!

 

[Tripredacus]

Just cause you have a memory stick of pictures doesnt mean they will take that as proof that you had them. It is a nice first step but I back up my bigger purchases by printing out paypal payments to show I owned it and what it may sell for.

That's a good point. I've saved every Paypal receipt I've ever gotten. So as long as my web mail company stays in business, I've got that for proof.

 

[bto3105]

I'm not kidding......same thing happened to my buddy over xmas and I will tell you it could have been major loss of many rare hockey and baseball pieces.
Him and his family had to move out of the house over xmas. He's in talks with the insurance now as he did lose some stuff but thank god most of the rare stuff was not hurt


I tell ya,Insurance will find any way not to pay and for collections worth major coin,it would cost an arm and an leg to get coverage in the first place.

 

[timber09]

I tell ya,Insurance will find any way not to pay and for collections worth major coin,it would cost an arm and an leg to get coverage in the first place.

This is a pretty skeptical view of insurance - I can tell you as an insurance professional, this is completely untrue. It is also untrue that all policies have some sort of coverage for these types of losses and for these collectible contents.

The bottom line is read what you are purchasing and ask questions to your insurance provider. They are getting compensated to help you through the process so make sure you walk out without anything being left to chance. The fact that people blame insurance companies for not paying for something they thought should be covered but was strictly excluded from the policy is not the insurance companies fault - it is the purchaser. Ask the questions.

For cards that are of significant value to you or your family and where you do not want to go back and forth negotiating the worth, get a floater policy which grants you an "agreed value" policy. Basically, you pay a premium for coverage and if your card goes away you get that exact payment without negotiations and without impacting your limit of insurance - similar to a jewelry floater.

One of the big problems you will run into in a total loss like this is that the limit of insurance will most likely be exhausted and the insurance company will write a check for that total - which will most likley not cover everything in the house (80% of people are underinsured).

I could go on with more details for days but at the end of the day, you have an insurance professional to walk you through what you need to do to be properly covered. If they don't fulfil your needs, go to a different one - there are many people out there who want your business.

 

[lawbick]

Read your policy limits. I am presently negotiating greater coverage because my policy, with TD Meloche Monnex, covers up to $6,000 for "collectibles and furs". I need more coverage and need to send a detailed list of my collection, preferably with pictures, to my insurer so they can get an underwriter involved. The more disclosure you give and the more notice the insurer has, the greater the likelihood you will be covered to some extent. A good broker will follow up with you on a regular basis to ensure you are adequately covered.

Some tips if you have to make a claim:

- Don't rely on any unwritten representations from insurance brokers or insurance adjusters - no offence to any such persons who may be reading this, but insurance companies do not usually play nice because playing nice does not enhance the bottom line. Adjusters get paid a commission on what they help the insurance company keep in its pockets (for example, if a claim is worth $10K and the adjuster tells an insured "here is $5K, its the best you can do" and the insured accepts, the adjuster gets a piece of the $5K it saved the insurer). These people are not looking out for your best interests, but their own.

- Do not sign anything and do not cash any cheques without the appropriate legal advice. Find a lawyer who specializes in property insurance claims. For a couple of hours of the lawyer's time, you could significantly increase the amount you recover.

- You have 1 year to sue on most property policies. Adjusters will try and run the clock out on you, so be diligent and do not accept delays. You can file your claim whenever you want and not serve it unless and until negotiations break down. Whatever you do, keep an eye on your deadlines - they are and they won't remind you. If you cannot get anywhere with the adjuster in a timely manner, sue as soon as possible. It gets their attention and it gets the file into the hands of a lawyer. The insurance company doesn't like paying lawyers any more than you do, and there will be an incentive to settle on their part for that reason alone.

- You must make sure that if your policy or if your insurer's claims process requires you to do something within a certain amount of time, do it ASAP or else you may be denied coverage. For example, most policies state that you must give notice of floods/fires within [X] hours of the incident.

Please feel free to PM or email me if you have any further questions.

 

[lawbick]

That's a good point. I've saved every Paypal receipt I've ever gotten. So as long as my web mail company stays in business, I've got that for proof.

For god's sake print your receipts.

Disclosure of ownership IN ADVANCE is necessary - it allows the insurer to consider (a) whether to insure the property, (b) if so, for how much, and (c) what the appropriate premium would be for that amount of coverage.

A previous poster said that he pays about $4/mth for an additional $8K of coverage - PEANUTS for PEACE OF MIND.