Insurance ?

[Steve H]

All,
Do any of you insure your cameras, etc ? Eventhough I am purchasing most of my items 2nd (3rd, 4th, 5th...) hand, I still have a large sum of money invested in my photography items (especially now with LF equipment). Furthermore, I travel with it frequently. Anyone else give this a thought or two ?

[Joseph O'Neil]

I just got my house insurance renewal for the year in the mail today, so your question is topical for me. I do have my cameras under my home insurance, and i pay a bit extra for that.

To get just insurance for your cameras alone, depending on circumstances, can be almost just as much money as a policy for business or home owners, so IMO, I have found it's best to take an existing policy and have your cameras added extra to it.

joe

[darr]

A rider to the home owners policy should take care of it if you have the cash. If you have a business that you can legitimize the use of the equipment in, you can depreciate the cost of the gear over a five year period, write off repairs, and if the equipment is lost or stolen, you can write off the loss. Speak to a reputable CPA for that. Any CPA's hanging out in the forum?

[Jim Ewins]

The rider on my vehicle/homeowner costs less than 1%/yr. Not exactly cheap, but when you're parked at a trail head and much of your gear is in the vehicle!!!

[Ron Marshall]

I have my equipment under my apartment policy, on a floater policy so that they are covered wherever I take them. It is about $30 more per year.

[Ted Harris]

Rates for cameras, lenses, etc. as a scheduled items rider on your homeowners policy should be relatively inexpensive. This is ony a viable option if you are an amateur.

If you are a professional there are various options. One of the more common is often referred to as an 'Inland Marine Policy' if I correctly remember the obscure insurance industry terms. It is an all risk policy and costs will vary but I believe the $3.00 per $1000 of declared value that I pay is fairly typical ..... anyone who has dramatically lower rates I wanna know! I have only had to file one claim in the past decade but that claim was for a couple of thousand for a Horseman FA that was creamed on some rocks when a tripod got knocked over. It was paid promptly with no hassle and no change in rates.

[Steve H]

All,
Thanks for all your help. Im going to call my insurance co. this morning and see what they have to say.

Thanks again

[Ralph Barker]

Ted makes a couple of good points, I think - points that should probably discussed with one's insurance agent in detail. As Ted mentioned, one key factor is the pro/amateur question. From an insurance perspective, however, the definition of "pro" versus "am" may not be what you'd expect. The insurance company may consider "professional use" to be the generation of any income, even if one isn't a full-time professional photographer. And, while Ted's claim experience with his insurance company has been good, it's helpful to ask one's agent about what happens when a claim is made, and a second or third. Depending on the nature of the policy or rider, the insurance company may not be particularly tolerant of actual claims - a fact that can lead to either rate increases, or policy cancellation. That, in turn, can be a potential nightmare if the coverage is in the form of a rider to a homeowner's policy.

[Ted Harris]

A quick addendum to Ralph's post. AFAIK most insurance companies will consider "professional use" to be the generation of ANY income, as he mentioned. Further, if you do generate any income from your photography and add the equipoment to your homeowner's policy and then file a claim at some later date you are running grave risks of cancellation.

[Jeff Morfit]

Also, it is a very good idea to keep a detailed list of all your photography equipment. This should include serial numbers and a very detailed description of each item, especially if you bought anything used. Since sometimes used equipment may not be in mint condition, your descriptions should include any nicks, dents, scratches, etc. Update your list whenever you buy or sell a piece of equipment. I keep three printed lists handy. One is at home, another with my insurance agent, and a third at the office. I keep all of my records on a floppy disk so that it is easier to keep my records up-to-date.

[bglick]

For those insuring your gear under your homeowners policy. BEWARE... at least in USA. I had 2 small claims, the result was, Homeowners insurance company will drop you like a hot potatoe.

Homeowners insurance is the new hot bed for insurance companies, just think, they charge you $600 a year, and they run the risk of $250k? So now, unlike 10 years ago, if you file a claim, be prepared to be dropped, maybe not immeidately, but within 6 months. Then, it gets worse. Trying to get another homeowners policy will cost you 10x the amount, as NO insurance company will write your policy, as they all look back 3 years in the computer database. It doesn't matter what the claim is for. In my case, a kid threw a stone at my front window, $750, but $500 deductable, and a $1500 loss of camera gear, all in 2 months. I was using State Farm insurance.

I tried every insurance company under the sun, none would write my homeowners policy. Later I found out, if you move into a house, and the previous owner filed a claim in that house in the past 3 years, they won't write the policy. So, what happens? You must go into secondary markets, whereas very few companies even exsit. In my case, my homeowners insurance went from $600 a year to $6k per year! Yep, for $3 solid years, no one would touch the policy, only one company. I have perfect credit, good job, no claims in my prior 20 years of homeowners policies, I had all my car insurance with STate Farm totaling $4k a year, and still they cut you off with 30 days notice. I could not beleive the trauma and expense those few claims cost me, like $15k extra for 3 years....now, the 3 years is up, and every insurance company under the sun will write my policy again, I just signed up for $700 a year. Of course, had I undrstood these new unwritten insurance guidelines, I would have NEVER filed the claims. So, for others, don't let a $800 claim on your homeowners cost you $15k and 3 years of misery trying to get insured. From what I have heard, things have only gotten worse since then..... Homeowners insurance is turning out to be a looser for insurance companies and they are playing hardball, realizing the slightest bit of potential risk (like someone who filed a claim) is not worth the $600 per year.