As the global art community grows, so does the need for insurance policies for collectors.
by Alicja Grzadkowska/insurancebusinessmag.com
Growth in art market means insurance opportunities abound.
With the rebound in financial markets following the financial crisis in 2009, art sales have likewise taken off. New auction records made by paintings and other works are now a common occurrence, seen recently with the record-breaking sale of Leonardo da Vinci’s Salvator Mundi in December.
As the global art community grows, so does the need for insurance policies for collectors. In China, there’s been a growth in museums, which means these institutions are also looking for coverage for their collections. Meanwhile, in the US, “the museum consumption of insurance is static, but many of them are having to increase the coverage they’re carrying because of the escalation in art values,” said Huntington T. Block’s president and CEO, Joe Dunn.
What’s prompting the increase in values and thus, coverage?
The natural inflation of art over time, said Dunn, as well as the consumption of art by new consumers, particularly those in the Persian Gulf, China, and India…
