If you're a connoisseur of scotch and whisky, you have a small or not-so-small collection at home, so you've always got the right bottle to break out on a special occasion. They may be consumable, but those bottles are not just your essential groceries. They're treasures that may sometimes be quite costly, and if they were stolen or destroyed in a fire or natural disaster, you'd want to replace them with your other damaged or destroyed belongings. That's why it's essential to ensure you have the right whisky collection insurance with the right coverage limits to ensure that you'll receive total replacement value in the event of an insured peril.
When the collection in question is for personal rather than commercial use, whisky collection insurance is a part of the contents coverage on your home insurance or tenant insurance policy. It's a type of personal insurance coverage that protects you against financial loss if your scotch and whisky collection is destroyed by an insured peril such as a fire, stolen or vandalized. In a situation like that, your insurance carrier would provide the funds necessary to replace your scotch and whisky collection up to the coverage limits on your insurance policy. Coverage extensions are also available for your homeowners' insurance, which could extend coverage for other potential perils, such as damage caused by a sewage backup or a mechanical breakdown of climate control units.
You probably already have a homeowners or tenant policy if you're renting your home. In most cases, that home policy will include whisky collection insurance as part of your contents coverage. Since your collection is among your possessions, it qualifies for the same coverage as the rest of your belongings. Suppose you have a small collection of average-value bottles; your regular contents coverage will likely be enough coverage to replace your bottles if the worst happens. However, suppose you have a significantly extensive collection or a few high-value individual bottles. In that case, however, your normal content coverage limits may not be high enough to guarantee that you'll be able to replace them with bottles of equal value. In that case, you can add a special rider to your home insurance policy to get the full coverage you need for your whisky collection insurance. Speak to an expert broker at Morison Insurance to begin a scotch and whisky collection insurance quote today.
While it's likely that whisky collection insurance is already a part of your homeowners' policy, there are some circumstances in which the collection would need to be covered. Suppose you use your collection for commercial purposes. In that case, it will not be covered by your home insurance—you would need coverage under a commercial business insurance policy instead. It's also important to understand what type of home insurance coverage you have in Ontario so you know what risks are included in your scotch and whisky collection insurance.
For most typical personal collections, itemizing individual bottles is unnecessary—the entire collection will be protected under your regular contents coverage. But if you have a high-value collection, it may be better to itemize each bottle with a significant valuation to ensure your whisky collection insurance is adequate to provide full replacement cost for your collection.
If you have your purchase receipts available, you can use them to place a value on your collection. But be aware that values for some bottles may have increased since you purchased them, so it's worth taking the time to research the current value of each bottle or have them appraised by a professional so you can rest assured that you have an accurate valuation and will be able to access the whisky collection insurance necessary to replace your collection with one of equal value.
Creating a home inventory list is one of the best way to itemize and ensure all of your scotch and whiskey is accounted for. This document will list all essential items on your property so that you will have documented evidence of your collection and its value if an insured loss occurs.
The risks that are or are not covered by whisky collection insurance depend on how your home insurance policy is structured. If you have an all-risks policy, it generally means that all risks are included for coverage except the ones explicitly excluded. However, if you have a named perils policy, all risks are excluded except those specifically named on the policy.
Regardless of policy type, your whisky collection insurance will not include coverage for damage or destruction caused by an inherent defect in the product, gradual deterioration over time, or atmosphere and climate-related problems such as corrosion, fungus, mildew, pest infestations and light exposure.
In most cases, it's best to keep your personal scotch and whisky collection at home, where you can easily access it. As your coverage is part of your homeowners' policy, you'll likely be able to access considerably higher coverage limits for a collection kept at your home.
If you need more information about the whisky collection insurance protection or you want to begin an Ontario scotch and whisky collection insurance quote, give us a call to speak with a friendly broker at Morison Insurance. We can review your existing coverage, consult with you about your collection, and make the appropriate recommendations to give you the peace of mind that comes with knowing your collection is fully insured. Call 1-800-463-8074 to speak today to a Morison Insurance broker about whisky collection insurance.
This content is written by our Morison Insurance team. It is provided for general information only. Insurance needs differ from person to person, and this article is therefore not a substitute for professional advice about your individual insurance needs which can be obtained by speaking to one of our brokers.