Wine insurance for wines stored at offsite storage

[Nick_Gangas]

here’s my strategy. I have insurance for $100,000. Now my cellar is worth much more and in 2 places. So if one burns down will I be made whole ? no. But I still have a lot of wine in another location. I then can spend what I want to replace on what I want but will probably bank a bunch. My cost is around $700 a year.

There is still correlation risk. What if electric power in your overall area goes down, such that the wines in two separate places both get heat-damaged?
If your wine is worth so much, insuring it all properly will not add greatly to its total cost, anyway. Selling one or two bottles yearly, in order to protect the aggregate, should barely sting at all.

Yes agreed. Unless Teumps buddies in the politburo get pissed and turn off all of northern Illinois at once in July I feel like I can handle the risk. If I lose power in my house in La Grange I can also get ice to keep it cold enough. The wine storage is in the city so a significant distance away.

Life is not without risk.

[JohnP]

FWIW, I just had this conversation, but I had it with my insurance agent rather than a wine locker merchant.

My insurance is apparently typical (but not universal), in that wine is covered under the normal “personal property” portion of our homeowners’, and pretty much anywhere in the USA as long as it is there by my intention. There is sufficient blanket coverage for the entire value, however she did recommend that I separately cover the $500 deductible portion for wine (in case of something happening in shipping, moving, etc.), for $19/year.

I would also say that if I were running a wine storage facility I certainly would not be giving any advice on this subject other than “…insuring your wine sounds like a good idea to me.”

$19 a year seems pretty reasonable to insure for damage such as accidental breakage. Maybe a small amount of wine (i.e. $1000)? Do you mind sharing the company and state you have a policy? Sound like something I’d want to explore.

[Dennis_Lopez]

My broker found BlueWater for me after I had wine insurance through my homeowners. BlueWater is more complete coverage and all I have to do is send them a quarterly inventory. They also cover my wine that is offsite. BlueWater was also cheaper than covering my wine through my homeowners policy.

[Andrew_K]

Yes I posted in another thread recently but I also use Bluewater. They cover in house and storage facilities at the same rate. Reasonable to me.

[SteveG]

FWIW, I just had this conversation, but I had it with my insurance agent rather than a wine locker merchant.

My insurance is apparently typical (but not universal), in that wine is covered under the normal “personal property” portion of our homeowners’, and pretty much anywhere in the USA as long as it is there by my intention. There is sufficient blanket coverage for the entire value, however she did recommend that I separately cover the $500 deductible portion for wine (in case of something happening in shipping, moving, etc.), for $19/year.

I would also say that if I were running a wine storage facility I certainly would not be giving any advice on this subject other than “…insuring your wine sounds like a good idea to me.”

$19 a year seems pretty reasonable to insure for damage such as accidental breakage. Maybe a small amount of wine (i.e. $1000)? Do you mind sharing the company and state you have a policy? Sound like something I’d want to explore.

I an in Ohio, and it is Cincinnati Insurance (possibly a captive of somebody much larger (and with a national footprint), I don’t know). I can’t vouch for their service as we are just switching from Chubb, but I would guess they are pretty good since I doubt my agent wants to make his job harder.

[Victor_Hong]

A better commission may be his incentive.

[Brandon_R]

A better commission may be his incentive.

You’re awfully cynical toward insurance professionals, Victor. Has it occurred to you that one might (or might not) be recommending a change because it’s the best course of action for the insured?

[Brandon_R]

A better commission may be his incentive.

You’re awfully cynical toward insurance professionals, Victor. Has it occurred to you that one might (or might not) be recommending a change because it’s the best course of action for the insured? My agent is fantastic and, I happen to believe, he represents the majority of agents out there. Changes are recommended when it makes sense for the insured.

[YLee]

Has anyone dealt with filing a claim and can provide either good or not so good experience?

[Gabe_Berk]

Has anyone dealt with filing a claim and can provide either good or not so good experience?

No wine claims, but for residential and commercial claims, CHUBB is exceptional. They have a rating A++ Superior which is the highest rating in the insurance world.

There is wonderful coverage for wine once its at your house or off site location. Ironically, during delivery (highest potential for damage) from the winery to you, there is virtually no insurance for heat, freezing, popped corks, theft, non-delivery, lost in transit, etc. from FedEx or UPS “additional insurance”.

[Victor_Hong]

A better commission may be his incentive.

You’re awfully cynical toward insurance professionals, Victor. Has it occurred to you that one might (or might not) be recommending a change because it’s the best course of action for the insured? My agent is fantastic and, I happen to believe, he represents the majority of agents out there. Changes are recommended when it makes sense for the insured.

In mortgage derivative parlance, the agent owns the IO strip while the insured owns the PO strip, conferring divergent incentives to each person. Economics recognizes the objective influence of formal monetary incentives, without implying subjective character traits. Perhaps, you are inferring them on your own, but attributing them to others.

By nature, commissions are sales-contingent incentive compensation. I myself was a financial sales agent, although not in insurance, before trading in a telephone, pencil, and paper, in favor of wok and ladle.

[John_Davis]

I have used State Farm and Chubb and supplied them both with inventories yearly. I have most of my wine in off site storage and insure all of it.

[Yao_C]

Ironically, during delivery (highest potential for damage) from the winery to you, there is virtually no insurance for heat, freezing, popped corks, theft, non-delivery, lost in transit, etc. from FedEx or UPS “additional insurance”.

Just the same way lenders prefer to lend money to those who don’t need it…

[Victor_Hong]

Ironically, during delivery (highest potential for damage) from the winery to you, there is virtually no insurance for heat, freezing, popped corks, theft, non-delivery, lost in transit, etc. from FedEx or UPS “additional insurance”.

Just the same way lenders prefer to lend money to those who don’t need it…

Check your credit-card benefits, for purchased-item insurance coverage.

[SteveG]

Just to be clear, although nothing is guaranteed, I would not have mentioned the name of the carrier (or even addressed the topic) if I did not have complete confidence in my agent. Chubb has been our insurer (through this same agent) for 28 years, and our experience has been excellent, although I am sure they made plenty of money on us. We switched because Chubb quoted renewal rate almost 20% higher than last year, although we had no claims.

I am well aware that the agency (they are also a broker) gets paid for renewals, new customers, etc., but I am confident that switching our insurance, along with dozens of other customers’, is a lot of work compared to renewing, as well that we are all expecting the same sterling service from him and our new carrier that we have always received from Chubb.

[Gabe_Berk]

Ironically, during delivery (highest potential for damage) from the winery to you, there is virtually no insurance for heat, freezing, popped corks, theft, non-delivery, lost in transit, etc. from FedEx or UPS “additional insurance”.

Just the same way lenders prefer to lend money to those who don’t need it…

Check your credit-card benefits, for purchased-item insurance coverage.

Credit Card insurance is secondary to FedEx and UPS and excludes coverage for perishables including wine…

[ERPark]

Curious if anyone may know if coverage extends to situations when you’re personally transporting wines from a location to your offsite or home cellar? I have a couple cases I will eventually need to bring back to the West Coast, and was thinking of securely packing them and checking them on an airline flight.

[Chuck_Miller]

To be clear, if I am reading Steve correctly, he didn’t get wine coverage for $19/yr. He has sufficient blanket coverage from his homeowner’s policy. The $19 is only covering the $500 deductible. Still seems reasonable.

[Carlton_McCrindle]

I have used State Farm and Chubb and supplied them both with inventories yearly. I have most of my wine in off site storage and insure all of it.

Are you using them simultaneously or simply one at each location?
I use SF on the residence but am looking around. They have not been helpful with regard to insuring my cellared wines in the home.

[John_Davis]

Simultaneously. The storage location offers insurance and it may be perfectly fine. I take a bit of comfort knowing my agent and knowing regardless the wine is insured.