Many of us picture insurance as something that protects valuables locked behind a secure door. The jewellery in the bedroom drawer, the stock in the warehouse, the paintings on the boardroom wall. Valuable things rarely stay put for long, though. Gold bars move to a vault, diamonds travel from cutter to jeweller, a painting goes off to a gallery on loan, and cash gets collected, counted and banked every day. And it is often in these moments when they face the greatest risk. Specie insurance is designed for those items, and it can follow them when they leave the building, depending on the policy terms. This guide covers what Specie insurance is, what it typically protects and what to consider when deciding howmuch you may need.<\/p>\n\n\n\n
Specie insurance protects high-value portable items such as cash, precious metals, gems, collectibles and fine art. It has roots in mining, where it covered gold still in the ground, and it now stretches to cryptocurrency storage.<\/p>\n\n\n\n
The items covered vary enormously, but the cover is built around two things they share. They’re worth a lot, and they travel. Standard property policies are mostly designed for things that stay put.<\/p>\n\n\n\n
Many specie policies cover theft, damage and destruction, whether the items are in storage, in transit or on display, subject to the policy terms, conditions and exclusions. Many work on a “full risk” basis, so a scratched frame or a cracked display case may be claimed for, and you aren’t necessarily limited to a total loss. Some policies can also pick up related costs such as restoring or replacing an item, and legal fees linked to a claim.<\/p>\n\n\n\n
Cover is tailored to the business. A jeweller might need protection for a large stock of diamonds, a museum for works that can’t be replaced, and a digital asset custodian for the private keys it holds on behalf of clients.<\/p>\n\n\n\n
Often, yes, and these are the classic specie risks. Cash can be insured in transit and on the premises, which is why banks, cash-handling firms and retailers look at it. The same may apply to ATMs and the money inside them. Bullion can be covered at various stages, from ore to refinery to vault to buyer. Gems can be followed from mine to cutter, grader and jeweller, depending on the policy.<\/p>\n\n\n\n
Robbery is one of the main causes of loss in this area, and it’s sometimes carried out with inside help. Insurers will look closely at your security and financial controls.<\/p>\n\n\n\n
Fine art, antiques, jewellery, watches, coins, stamps and wine collections can all sit on a specie policy. Check the “pairs and sets” wording. If you lose one earring from a pair, the remaining one is worth far less than half the original value, and the policy should recognise that.<\/p>\n\n\n\n
Cryptocurrency can be covered in some cases, mainly where a business looks after clients’ private keys. It’s a newer area, so terms vary between insurers.<\/p>\n\n\n\n
Businesses that hold, move or display valuable items are the obvious candidates. Places such as banks, jewellers, art galleries, museums, cash-in-transit firms, ATM operators, bullion dealers and digital asset custodians. Private collectors and companies with art or jewellery collections also buy it, and so do people who’ve inherited something precious and want it properly protected.<\/p>\n\n\n\n
Partly, and usually less than people expect. Property policies cover stock and contents, but insurers commonly set a limit for any single item, pair or set. Anything above it generally has to be listed individually, or you may only be covered up to the limit. These limits vary between insurers and policy sections.<\/p>\n\n\n\n
Money tends to sit in its own section with separate limits for cash in a safe, cash out of the safe and cash in transit. Valuation is the other gap. Many standard policies pay on an actual cash value basis, which assumes an item loses value over time, while art, coins and precious metals often gain it. Your policy schedule will show exactly where the limits sit.<\/p>\n\n\n\n
Start with an up-to-date list of what you hold. Recent valuations or purchase receipts allow an insurer to offer an agreed value. Without them, you’ll usually be offered market value. Appraisals, provenance records and condition reports all help, and they make a claim much smoother if you ever need one.<\/p>\n\n\n\n
Then look at your peak exposure. What is the most you hold in one place at one time, whether that’s a vault, a shop floor, a vehicle or an exhibition space? Valuations can go out of date quickly, particularly when precious metal prices move, so regular reviews are worthwhile. Cost depends on your type of business, security controls, financial controls, the value of the items and the level of cover you choose.<\/p>\n\n\n\n
JENOA is a digital reinsurance and risk management broker. It launched in 2020 and is backed by Abdul Latif Jameel, a family business founded in 1945. As an appointed representative of Lloyd’s broker HWS Speciality, JENOA has access to the Lloyd’s market. H. W. Wood Limited (FCA reference number 309408)\u00a0 is authorised and regulated by the Financial Conduct Authority (FRN 917726). The team also offers risk advisory, InsurTech and Sharia-compliant solutions.<\/p>\n\n\n\n
If you’d like help working out how to insure your high-value assets, contact us<\/a> and the JENOA team will talk you through your options.<\/p>\n\n\n\n This article is for general information only and does not constitute insurance, legal, financial or other professional advice, or an offer or recommendation of any particular product. Cover is always subject to the terms, conditions and exclusions of the relevant policy. JENOA products and services may vary depending on jurisdictions and may not be available in all jurisdictions. To find out more, please contact the JENOA team<\/a> for information.<\/a><\/p>\n","protected":false},"excerpt":{"rendered":" Many of us picture insurance as something that protects valuables locked behind a secure door. The jewellery in the bedroom drawer, the stock in the warehouse, the paintings on the boardroom wall. Valuable things rarely stay put for long, though. Gold bars move to a vault, diamonds travel from cutter to jeweller, a painting goes […]<\/p>\n","protected":false},"featured_media":2469,"template":"","class_list":["post-2468","news","type-news","status-publish","has-post-thumbnail","hentry"],"acf":[],"yoast_head":"\n