What If My Inn Owns Valuable Antiques?

Many Inn owners decorate with various antiques, such as fine china, paintings, statues, tapestries, or other artwork. Some of these items can be very valuable, adding to both the resale value of the inn and the ambiance created for guests. A generic insurance policy does not do a good job of properly protecting antiques or other unique items. Even if your inn has “contents” coverage, there is still a significant gap in coverage.

“Contents” or “Business Personal Property” coverage on an insurance policy is designed to replace the items you’ve lost with something new. If you lose a 4 poster bed to a fire, they will pay for you to get a new 4-poster. If you lose a 2’ x 3’ painting to vandalism damage, the insurer is typically obligated to pay to get you a new 2’ x 3’ painting, less your deductible.

Are you able to see the gap in coverage? You might have an antique 4-poster bed from the late 1800s that is worth $10,000 on the open market. Compare that to what you see when you search for “wooden four poster beds for sale” online. You can get a nice-looking, new bed for less than $2,000. If you have this antique bed insured as “contents” for “replacement cost,” you would end up getting about $2,000 for a bed worth $10,000.

If you are concerned that some of your Inn’s belongings might be at risk, because of their unique or valuable nature, please contact one of our Inn insurance experts to learn more on how to better protect your assets.

James Dick, CPCU, AAI