Insured Parties and Private Clients
Individual private clients can request an Insurance Appraisal from Willow Fine Arts, which generally uses Retail Replacement Values. The client then submits the completed insurance appraisal report to their insurance agent, who will advise the client on the appropriate level of coverage to fit their needs.

***Willow Fine Arts can work with your insurance provider or agent to determine if a reduction in annual premiums is feasible through cost-effective upgrades in environmental or interior features, such as UV glass treatment or added security measures. Because the art market fluctuates over time, insurance agents recommend that clients periodically update the values contained in their Insurance Appraisal reports, thereby assuring the insurance agent and client that any damaged objects will be fully covered by the insurance policy. Even if Willow Fine Arts did not prepare the client’s previous Insurance Appraisal report, we can review their previous report and update the current market values as appropriate.

Insurance Companies
Our appraisers also work directly with insurance companies to resolve personal property damage/loss claims fairly and within a reasonable time period. In these instances, we act as an independent, objective third party. We examine the damaged property, either in-person or via photographs provided by the claims adjustor or claimant, obtain quotes from appropriate conservators or restorers, draw on our experience to analyze the appropriate loss in value, and recommend the best course of action for the insurance company to resolve the claim. Our appraisers have also been hired to review damage claims to assess pre-existing conditions, analyze treatment proposals provided by restorers, and facilitate conservation.

Damage Incidents
In 2012, our appraisers were working in New York when Superstorm Sandy flooded Manhattan. Storm water damaged an estimated half a billion dollars of artwork in galleries and art storage facilities in lower Manhattan. Water, known as the “universal solvent”, remains one of the biggest threats to valuable personal property collections, especially in South Florida.

Our appraisers are experienced with damage and loss caused by accidental breakage, fire, vandalism, and theft, but the largest proportion of claims for which Willow Fine Arts appraisers have advised resolutions are damage incidents caused by water exposure. When water damage occurs, from a flood or water leak, for example, the liquid might enter the claimant’s home through a ceiling or front yard. It carries a high percentage of debris, dirt, and mold spores, all with the potential to cause severe damage to anything it touches, including furniture and artworks. Flooded environments are also extremely humid. Objects that were not directly submerged in flood water can be damaged by prolonged exposure to abnormally high humidity. In the event of any damage incidents it is crucial for the insured party to contact their insurance agent immediately to begin remediation as quickly as possible, hopefully preventing irreparable damage. Then Willow Fine Arts will arrive to inspect the property, obtain opinions from the appropriate art restoration firms, and recommend a loss in value.

Definitions of Commonly Used Art Insurance Terms
Art-related terms commonly used in relation to damage or loss claims can confuse insurance agents and clients alike. Several terms are defined as follows:

Blanket Insurance Policy: A blanket policy is a luxury insurance policy that insurance agents often recommend for our ultra high net worth clients. Among other benefits, it provides coverage for artworks and valuable property located in multiple residences, and flexibility for private clients who are actively buying and selling artworks and/or moving artworks to different residences on a regular basis. Corporate blanket insurance is usually carried by businesses such as art galleries, art dealers, and corporate art collections.

Conservation: The treatment and preventative care of an object so that its condition does not deteriorate and will remain stable; the preservation of a work of art involving careful maintenance and protection of the object, using materials and procedures that will have no adverse effect. Conservation and restoration are often used incorrectly: conservators preserve an artwork in its present state for future generations, while restorers repair damage.

Damage and Loss Appraisals: In cases where an insured object has been damaged and/or stolen, Willow Fine Arts will work with the claimant’s insurance company to determine the extent of loss. We will then recommend appropriate compensation to make the damaged party whole, work with top conservators to fix the damage, and/or source an appropriate replacement for the object.

Foxing: Small yellow, brown, or reddish-brown spots on paper; caused by mold or oxidation of iron particles in paper. This term is most commonly used for works on paper, but foxing can also be present on canvas and other materials. For an example, see this article.

Preservation: Related to conservation and restoration, preservation actions are taken to prevent further changes to or deterioration of objects, sites, or structures.

Restoration: A process whereby, if an object has lost a part and that missing part or piece is eplaced or restored to simulate the original, the object can be returned as closely as possible to its original condition. Willow Fine Arts has relationships with top restoration firms located worldwide.

Retail Replacement Value (RRV): Usually used for insurance purposes. A property’s highest value, defined as the highest amount in terms of US dollars that would be required to replace the property with another of similar age, quality, origin, appearance, provenance, and condition, within a reasonable length of time in an appropriate and relevant market. When applicable, additional fees such as sales and/or import tax, commissions, framing costs, transportation costs, and premiums are included in the amount. Retail Value is similar but does not include any fees or additional costs.

Scheduled Articles: A term used by insurance companies for articles of personal property that are individually listed, described, and valued on an insurance policy. Although some insurance companies will accept a receipt/bill of sale from a recent purchase, the schedule is typically based on an appraisal. Scheduled items will typically carry a lower insurance premium than items that are covered by a blanket insurance policy.

Tide Line: This is a term for a type of damage caused by water exposure. When contaminated water reacts with textiles, upholstery, paper, leather, and other absorbent materials, the water will evaporate and leave behind the contaminates. The leftover contaminates produce a darkened area that is often stiff and inflexible. For photographs of tidelines and more information about the chemistry, see this article.

These are just a few of the terms commonly used by art appraisers when preparing art Insurance Appraisals or consulting on Damage/Loss claims. Personal property damage unfortunately happens to even the most careful collectors, but Willow Fine Arts will make the process as painless as possible. We look forward to scheduling a consultation.