Insuring your chips vs disaster (1 Viewer)

[DrStrange]

I hosted a charity poker tournament last month - Bahamia chips were in play (pictures when I find my cable). One of the players was my insurance agent. The event is being held at my house where there are a lot of chips scattered around the room, some on display, some in cases, drawers etc. We got to talking about vintage poker chips and I mention that I have tens of thousands of chips worth tens of thousands of dollars.

I ask my agent about how my home owners policy would work if we had a total loss of the house. I expected a speech about collectables and special insurance policies, but that wasn't the totality of his reply.

First, the only way to be sure you are 100% covered would be with a special policy with appraisals and clear documentation of the chip sets. This coverage would be outside the total value limits on the residential property policy. I didn't get a satisfactory reply about who could do the appraisal. I rather doubt anyone locally would have a clue about the value of vintage casino sets.

That being said, the poker chips are covered under my general home owners policy. However they are subject to the limit on total value of the contents of the house. So if the total value of all my lost stuff exceeds the limits of the policy, they only pay the maximum limits.

He also said that I needed good documentation of the chips, say something like a set of albums posted on line. The adjusters would find piles of burned up chips but have no way to know exactly what they were or what their condition was prior to the fire (or what ever). It also would matter if I had replacement cost insurance or not.

It was helpful information. Made me more inspired to get all my stuff posted in albums.

DrStrange

 

[Mr. Cheese]

Good information. The part about a pile of burnt up chips made me sick to my stomach. I hope and pray no one on here ever has to go through a loss like that.

 

[manamongkids]

rule #1, dont tell a ton of people you have thousands of dollars worth of chip sets. lesson learned

 

[dennis63]

Good information to keep in mind as the years go by.

 

[lnlver]

You can schedule them on an inland marine rider; this broadens coverages as well as eliminates any deductible. Your best action is to document the total number of each kind of chip (denomination isn't important) and take lots of photos or movies. It also helps to keep a copy of the receipts off the premises along with the other supporting documentation.

If they're insured as part of your regular personal property, mysterious disappearance is excluded as well as other perils such as breakage. They also would be subject to your deductible, which is usually around $500 these days. You'd still be required to prove you had what you say you had at the time of loss.

 

[DrStrange]

It is a little hard to hide the horde of chips in the poker room. There are ~30 chips cases of some sort, 3,000+ chips in racks on display and a china hutch filled to the brim with chips.

My problem is diminishing expectations that a rack of $100 chips is worth $10,000 at the cage. Most people don't think about cancelled chips from closed casinos. My mom didn't understand at all, she went crazy the first time she walked in and saw hundreds of thousands of dollars in casino chips based on face value thinking they were live chips.

The good news - if someone somehow steals all the chips in the poker room, I'll be fully covered after the deductible.

I even have a policy if the thief injures their back carrying the chips and sues us -=- DrStrange

 

[12thMan]

rule #1, dont tell a ton of people you have thousands of dollars worth of chip sets. lesson learned

I once was on a gun forum and there was a thread titled "show off your safes", guys were posting picture after picturevof the outside and inside of their safes. Loooooolz This was more than a couple years ago but not stone age internet days, a ton of people who posted had there gps coordinates in the exif data in their pictures... I was dumbfounded at how otherwise intelligent people could be so blind to what a horrible idea that was.

 

[ledge4131]

Great info! Time to break out the camera and start documenting.

 

[brains613]

I was just talking to another chipper about this last night. Whenever I get something new I want to protect, especially something with nebulous value, I take pictures of it and upload it to photobucket. I also keep a spreadsheet on a google drive listing the quantity and value of the thing.

 

[BiGGyT]

@Mr Tree discussed this one time about adding a rider to insure the HP chips, I am sure he can provide more info.

If I recall, with any insurance, you need to document the cost of something. I keep spreadsheets and pictures, but some things are not covered by normal homeowners or is limited. Items like coins and currency are limited in amount, and are payable at face value, even if that 1913 Type I Standing Liberty quarter is worth $130, you get 25cents from insurance. Bullion is not insurable, so you might as well bury it in the back yard. Jewelry, if you have anything of value, probably need appraisal and rider. So if you were trying to get an appraisal for your chips, maybe someone who sells chips as a business (like Apache or Spinettis) could give you an appraisal or offer that you could use to justify the value for your files.

In short, the chip world would weep if any large collection were destroyed. Just don't weep when you get the settlement check.

 

[Mr Tree]

@Mr Tree discussed this one time about adding a rider to insure the HP chips, I am sure he can provide more info.

If I recall, with any insurance, you need to document the cost of something. I keep spreadsheets and pictures, but some things are not covered by normal homeowners or is limited. Items like coins and currency are limited in amount, and are payable at face value, even if that 1913 Type I Standing Liberty quarter is worth $130, you get 25cents from insurance. Bullion is not insurable, so you might as well bury it in the back yard. Jewelry, if you have anything of value, probably need appraisal and rider. So if you were trying to get an appraisal for your chips, maybe someone who sells chips as a business (like Apache or Spinettis) could give you an appraisal or offer that you could use to justify the value for your files.

In short, the chip world would weep if any large collection were destroyed. Just don't weep when you get the settlement check.

If you have a sizable value of chips the rider is worth it as your HO insurance will probably provide it dirt cheap. The info in this thread is pretty much spot on. Your HO policy will pick them up as contents. If you have a full loss to a house for a peril such as fire then no valuation is needed as the insurance company will just cut you a policy limits check. You just better hope your policy limit is adequate to cover clothes, furniture, etc, AND chips.

In a partial loss the insurance company will want to assess the value of your chips. Mine are all CPC or GOCC so I can just show the invoices from ordering them for both value and as proof of purchase. If you have casino sets then obviously valuation becomes trickier. I would definitely suggest some kind of appraisal. There was a question of who could perform such an appraisal. Ultimately I would say as long as the appraiser is a credible source and you get something that looks official I seriously doubt you would get pushback from the insurance company. Of course, with chips such as TRKs you are subject to wild swings or large increases in value so that's something to keep in mind.

A rider just gives you extra peace of mind if you have a sizable worth of chips. It gives you a guaranteed amount in the event of a loss without having to worry about dickering on valuation. It also expands your coverage to causes such as unexplained disappearance and insures them if you take them out of the house. Like I said if you have a sizable $ of chips I frankly think it is a no brainer. You get expanded coverage and the cost will probably be minimal. Call your HO policy holder and they will walk you through the details.

 

[moojersey]

Anyone use a safe for their more valuable chips?

 

[DrStrange]

My safe is way too small

 

[12thMan]

Nope, chips go on shelves, expensive things go in safes....

 

[BGinGA]

Anyone use a safe for their more valuable chips?

We use dogs.