Gun insurance question

F

FoghornLeghorn

New member
I've insured my guns with State Farm. My current agent requires me to fax a copy of the invoice of any gun I add to my collection.

If I have a gun that is valued too low for the current market, he's requiring me to take the gun to a licensed appraiser and correct the value and submit the documentation.

I'm looking at my policy. For example, I've got two Colt Pythons, 97% condition, I insured years ago for $1,000 each. The market has placed a higher value on those guns, but even though I can research their values myself (I've been doing this for 40 years), St. Farm says I've got to have someone with a "license" give an appraised value.

First off, we don't have licensed "appraisers" in my state. I could take them down to Eli's Pawn Shop and get his estimate. But the funny thing is, Eli sometimes asks me what a gun is, what it's worth, etc.

For those of you who insure your guns separately, do you have to do this? With an insane gun market, are you able to adjust the values with just a phone call?

What burns me is the fact that, if I understand the twit I just talked to, I conceivably might pay insurance for a $10,000 gun that I bought 50 years ago, but if it's stolen, since I have no "official" documentation re its value, State Farm might just set their own value and give me enough to maybe buy dinner.

Any advice is appreciated.
 
I'd be looking for a diffent insurance company to cover the guns. If you happen to be eligible for USAA their coverage is quite reasonable and does not require the things you're being asked to provide. It's cetainly worth looking elsewhere.
 
I'd been thinking about switching to them for homeowner's as well.
Click to expand...

I have generally been very happy with USAA. They are often very competitive when shopping for loans and the one auto claim I had with them was handled quickly and fairly. They did not even raise my rate after the claim because I had been a customer for a long time with no claims. But homeowner's is one thing I do not have with them. They just could not come close to the quote I got locally.
 
  1. Pretty much any insurance company is going to insist on some independent and expert estimate of the value. If you and the insurer agree on the value of something, in most cases that will be that. If you and the insurer do not agree ahead of time, and you make a claim on the item, the insurer will pay based on its estimate of the thing's value. You will be free to dispute that, if you want to bother hashing it out in court or in front of an arbitrator. (This applies to pretty much anything -- not just guns.)

  2. Because I'm a member of the Safari Club I was able to buy insurance on my guns through Sportsman's Insurance Agency. They have an established track record insuring guns for members of various shooting organizations and are familiar with the subject.

    • When I applied for the insurance I sent them a detail inventory of the guns and optics I wanted coverage for, including describing any modifications and customizations, with my estimate of the value of each.

    • SIAI reviewed my schedule and verified the values of guns then currently in production based on the manufacturer's list price and the values of guns no longer in production through the Blue Book of Gun Values. In several cases I was asked to supply documentation validating my estimates of the value of some custom work.

    • SIAI then prepared a schedule of how much they were willing to cover the guns for, and I was given a chance to review it. I found their evaluations to be fair and reasonable, and so I accepted the coverage.

    • SIAI did a lot of the leg work. I do not consider the process unreasonable or intrusive. I would not expect an insurer to provide coverage without understanding exactly what it would be covering, nor would I expect an insurer to necessarily just take my word for things.
 
State Farm is my insurance company. Earlier this year, I called them to update my firearms coverage (I only had $5000 coverage; appreciation and additions had rendered that insufficient).

The first question they asked me (politely interrupted me, actually) was if I was a member of the NRA. When I said "yes," they flat told me that my best choice would be to go through them.

So I did.
 
USAA

I was an underwriter for them (p&c), can't beat their coverage, open peril replacement cost. Can't beat it. Believe they call it now vpp, valuable personal property, long way from the original term (inland marine policy)

You'll have to have their homeowners insurance to get the vpp coverage.
 
I am by no means an insurance expert and the value of my gun collection is rather small and covered by a rider on my homeowners policy, but I do have a bit of experience in wading through coverage options for other valuables that are collectible and no longer produced, classic cars.

Do they offer defined value policies for guns? In the car world, YOU define what the car is worth, and the insurer presents you with a quote, you either like it and accept, or find someone else to get a quote from. If the car is ever totaled (or even smaller accidents depending on the policy), they pay you what the stated value was in the policy.
 
Jay
Yes to an extent, can't take a glock and say its worth 2M, the only reason you'd be willing to pay a premium on a $2,000,000 policy on a glock would be with the intent if eventually having a fraudulent claim.
 
Yes to an extent, can't take a glock and say its worth 2M, the only reason you'd be willing to pay a premium on a $2,000,000 policy on a glock would be with the intent if eventually having a fraudulent claim.
Click to expand...

Absolutely, but insurance fraud is a whole other issue.

For the guy with a good sized collection of guns no longer made (near mint Pythons in this case), it may be worth looking into. I have no idea if the premium would make it worth it, it may be easier/cheaper to stick with the invoice/appraisal method, or just find a different insurer that does have all the hoops to jump through.
 
This thread has caused me to do some adding in my head. I came to the conclusion I need to check and probably upgrade my policy. Insurance seams fairly low on the priority list tell you add it up subtract what your policy will pay then think about how much more money would be a total loss.
 
Some homeowners have a built in policy naming guns but only a low limit of usually 1k and it's not an open peril policy.
 
Jay24bal said:
Yes to an extent, can't take a glock and say its worth 2M, the only reason you'd be willing to pay a premium on a $2,000,000 policy on a glock would be with the intent if eventually having a fraudulent claim.
Click to expand...

Absolutely, but insurance fraud is a whole other issue.

For the guy with a good sized collection of guns no longer made (near mint Pythons in this case), it may be worth looking into. I have no idea if the premium would make it worth it, it may be easier/cheaper to stick with the invoice/appraisal method, or just find a different insurer that does have all the hoops to jump through.
Click to expand...
Still I would expect an insurer in that sort of business to decline to cover something for an amount clearly in excess of a reasonable estimate of its value. I doubt that Hagerty would insure your un-restored 1956 Nash Rambler for $200,000.00 no matter what premium you were willing to pay.

With any sort of "agreed value" policy both parties must agree on the insured value.
 
I raised a bit of a ruckus w/my insurer. Turns out the office staff had it all wrong. Now they're saying the only time I need physical, hard copy verification of an item is if that item is over $5,000.

Otherwise, a simple phone call will now do.

Strange.

I'm still going to be consulting some of the other insurers you gents were kind enough to name.

thanx
 
Historicfirearms.com

Is a subsidiary of Eastern Insurance.

Not for you if you have, say 5 firearms.

But beats collect insure by a mile, and. far better than a homeowner rider.
 
I also use State Farm for my firearms collection and they also drive me nuts. I have to send them an updated firearm log every year- copies of every invoice every time I add a purchase and then they want me to handwrite a detailed description with serial number make model and caliber for every firearm and it's current value(to replace new if possible).i tried explaining to them one day that all three pieces of info they ask me for are the same but they weren't having it. I prepay the whole policy upfront so when it expires in march I think I'm going with the nra plan. I feel like I'm doing more paperwork for them than an ffl dealer. Also forgot last time I talked to them they said pics would help out also. I have a feeling they don't know what's going on with firearms insurance.
 
You must log in or register to reply here.
Back
Top