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Wine insurance?


#1

Hi all,

A random one (and apologies as always if this has been brought up elsewhere) but I was speaking to a work colleague today and I mentioned I collect wine and how I never intended to start but we all know how it is - and suddenly you have a fridge full.

Anyway - the question that came out of the conversation from her was ‘do you have proper insurance for this?’ - This is something i’ve never really given much thought as I’m not a collector of ‘real’ fine wine in terms of the top Bordeaux Chateau names or DRCs of this world. However it did occur to me that yes I do actually have some pretty good wine and all in totality it probably deserves some thought to insurance. I don’t collect wine to sell on but to enjoy over the coming years. Despite this, if anything happened to it I would hate to quantify the current value of it all in total.

So my question to members is: do you have specific insurance, what options are there, how does it work and would you recommend it? I know in life you can get insurance for insurance (literally) but maybe I should consider a specific product.


#2

You may have it already under your contents. It depends.


#3

I’ve thought about this a bit as I have a fair amount of wine at home, mostly not terribly valuable but in total nevertheless worth quite a lot. Certainly worth more than my single item limit, though not sure if it is a single item.
I’ve just accepted that it probably wouldn’t be covered but is unlikely to suffer a great loss unless the whole house is destroyed somehow, in which case it wouldn’t be my top priority.
I’m not a big insurance fan in any case. As my father used to say, “if it won’t bust you, don’t insure it”.


#4

That’s a good saying! I’m not a huge insurance fan either - I just suspect like you that if something happened my home and contents insurance probably wouldn’t end up covering it.


#5

I’ve pondered this topic on numerous occasions over jewellery but not wine. I don’t have lots of expensive jewellery but a couple of pieces that really should be insured ! They’re not . The reason behind this is the annual insurance equates to a % of the value of the pieces of jewellery and it’s quite a high % at that. I would also have to pay for a yearly valuation to ensure the insurance is sufficient in case of loss or theft. It’s just not worth paying it , its works out far too expensive. I am guessing that ensuring wine would also be complicated and insurance would also equate to a percentage of the value . Would you then need an independent valuation to be carried out year on year ? Possibly, is it really worth it? Also, in the case of something happening to the wine, would you be confident the insurance company would refund you the current value of the wine ?or more likely the original purchase price ? It’s a whole can of worms really . I don’t imagine I will ever ensure my wine or jewellery for that matter , unless of course I win the lottery and build a state of the art cellar stocked with DRC :wink:


#6

There’s another angle on this insurance business that’s worth thinking about. Quite a few domestic policies do include wine in their coverage. You may need to call them to confirm that. If they don’t, then it’s entirely your call whether you pay for an extension or a separate policy to cover your wine, or just take the risk yourself.

But if it transpires your policy does extend to wine and you have not allowed enough in your level of cover, then if you have a catastrophic event such as a fire, then there’s a very real chance you may be deemed to be under-insured. If that happens, the insurer may very well reduce the total payout pro-rata to reflect that fact.


#7

This reminds me of the story of the person who insured his collection of cigars, that were subsequently destroyed in a series of small fires :wink:


#8

Well that’s an interesting thing because you’re always adding and drinking the wine collection so I don’t know how that would work if you got it properly insured


#9

@Rich29

I have claimed for a quantity of wine damaged when a cellar flooded…
…including a deep layer of heating oil.
Ordinary domestic policy with Direct Line at the time.
The whole claim including decontamination of the building and surroundings, accommodation for over a year etc was many tens of thousands.
Not a happy time!

I catalogued what was in the cellar, priced replacements and spreadsheeted the information with sources. The insurer added it to the bill without question and I had a cheque in reasonable time. I expect my research and clear presentation of what may be regarded as a specialist area helped.

What did surprise me was just how much some of the wine had gone up in value compared to the en primeur + duty + VAT WineSoc prices I paid.
The only thing I have learnt is that make sure your contents cover is enough to include your wine.
I already knew no single bottle exceeded the maximum individual item exclusion from the policy.
By some way!

regards,
Colin


#10

Thanks Colin that is really useful. I think I’ll take another look at my home and contents policy and go from there. I too have no individual bottle of wine worth more than the individual amount to declare.