Worldwide equipment insurance

[Antonio Correia]

I have now some expensive photographic equipment which I would like to insure in Portugal and worldwide when travelling.
In Portugal I couldn't find a company that would do so unless I was a pro. They think the risks are too hight even if I have other insurances in the same company like, houses and cars.
And, before I dive on the web I ask if you have any clue, please ? Thank you !

Photo from here

[pschlute]

I have now some expensive photographic equipment which I would like to insure in Portugal and worldwide when travelling.
In Portugal I couldn't find a company that would do so unless I was a pro. They think the risks are too hight even if I have other insurances in the same company like, houses and cars.
And, before I dive on the web I ask if you have any clue, please ? Thank you !

Photo from here

Mine is covered under my general house insurance.

[Manfred M]

Antonio - in Canada there are two routes to follow.

The first is what Peter suggests which is having a rider on your home insurance policy. Any expensive item (depends on the policy to define expensive) requires the item to be listed and an additional premium is paid based on the value of the item. In the policy I have, any item that is worth more than $CAD 1000 must be handled this way. My coverage is worldwide and I understand that to make a claim they need proof of loss (a police report, for instance). This insurance does not cover damage attributable to my carelessness.

The second approach is used by the professionals who ensure their business and includes things like liability insurance, equipment insurance, errors and omissions insurance, etc. There are specialty insurance carriers for this type of insurance.

[Antonio Correia]

Thank you Peter and Manfred for your replies.
I have talked to my insurance company but they denied.
As a second approach, I contacted a photography professional association which only accepts... professionals as members.
But I not stuck !
I will go and try again near my insurance company. I will insist. If they have my insurances in other areas they should have also this one.
My main concern is not the insurance in Portugal, but abroad. And abroad, I mean India for example.

[DanK]

I have found that the rules insurance companies have can be very arbitrary, but they aren't flexible.

We used to own a cabin on a large lake, and more than 15 years ago, we bought a pontoon boat. They can't go very fast--at least the models available then--but you could put a lot of people on it, cruise around, and swim from it. The one we picked had a two-cycle engine mounted on it, which happened to be 50 horsepower. I told the dealer that I would not use a two-stroke engine on an inland waterway, so he swapped it for a four-stroke engine, which happened to be 60 horsepower. I tried to add it to my homeowner's insurance, but both companies refused. One explained that the problem was the motor--it was more than 55 horsepower. She then said, "you know what they call these boats, don't you?" I said, yes, "party boats," but they don't go fast and are mostly driven by geezers like me, not hot-rodding youngsters. She said that she understood that but that the underwriter's rule was clear: no pontoon boats with motors > 55 horsepower. We had to buy a separate policy from a different company that only covered the boat, and only liability. if it sank, it was our problem.

Specialty insurance tends to be expensive, and it always costs more (all insurance does) than the expected loss, averaged across all customers. So IMHO, it makes most sense when you either can't or don't want to self-insure, or if you have reason to think you are bearing more risk than their average customer. We bought specialty insurance for the boat because if we actually hit someone, the liability could be huge, and I wasn't willing to self-insure for that.

[Antonio Correia]

Thank you Dan !
In Portugal, insurance companies belong to the banks at leat many of them.
I had one issue some years ago.
I was driving and I heat a car which was trying to get into "my" road. The repair of my car was expensive. It was an Opel Vectra. The other car was a small Fiat and it went to the junk. The driver was alive but with a few bruises at least.
The insurance company gave me a car so I could not stop going to work. But at some point, Opel was delaying the repair and I was supposed to give the rented car back.
Back then, I said no I am not going to do that, The problem is with Open which has not my car ready.
Today, I am sure things wouldn't be that easy.
In August most offices are working at half power. Next Monday I will ask about the insurance.
Thank you for commenting and telling about your experience !
Have a nice week-end !

[pschlute]

Insurance is a fascinating subject. i worked for many years in the City of London (not in insurance) but in the insurance location and in the same pubs/restaurants we would see the brokers making their deals.

One of them said to me once "insurance is about risk, nothing else.

Once you understand that, you can understand premium pricing. I have two cars. A 2014 Land Rover Freelander (very common) and a 2005 Aston Martin.. Which is cheaper to insure ? The Aston Martin of course. Why? Because 55 year old men driving Aston Martins do not have crashes statistically speaking. The more common LR Freelander driven all the time are always in accidents. It is as simple as that

[Antonio Correia]

My wife has a 15 years old Mercedes SLK which I had the pleasure to offer her brand new. This car is of great quality, is in meant conditions and has few kilometres as we drive frequently mine. It is the car my wife drives when she goes out by herself. I drive it occasionally.
I drive a 2 years old BMW series 4 GC and the kilometres it makes, are much more than the Mercedes.

Peter, I think insurances in this country are not calculated the way you said. I mean, taking in account the age of the driver, statistics and so on... of course I am not sure of what I talking about.
BUT the insurances companies tightly connected to banks, they do have in account the accidents you had lately !

I know very, very little about this matter, in fact.
BTW I'm 70,9 where 9 are the month

[pschlute]

Peter, I think insurances in this country are not calculated the way you said. I mean, taking in account the age of the driver, statistics and so on... of course I am not sure of what I talking about.

Insurance is about risk. Assess the risk. The lower the risk the less the premium.

Other factors do come into play, like for example if there are a lot of cars of one type in one area then the premiums for that specific car can be higher/lower depending on claim levels. Same if the insurance company has to insure a lot of the same model of car. Premiums will rise. But the sums are the same. Whether they are owned by a bank or not makes no difference.

[William W]

I have now some expensive photographic equipment which I would like to insure in Portugal and worldwide when travelling.

Nowadays when I am "travelling" I never am a "pro". My photography gear is insured under my Travel Insurance Policy.

Don't know anything about local insurance for Portuguese residents.

WW

[Antonio Correia]

William, I am Portuguese living in Portugal ever since.
I have been in Australia one: in the airport of Darwin for a few hours on the way to the then Portuguese Timor, for my military service, where I wasted 2 years of my youth !
But in New Zealand, yes I have been ! It has been the furthest point I have been to. The antipodes of Portugal !
Cheers !

Source

[William W]

I've been to Portugal - It was an amazing experience.

The food and the wine: and the history. I have a Photographer colleague who recently packed up his family and moved to live in Portugal ... moved from San Francisco - I hope to catch up with him in the not too distant future.

WW

[Antonio Correia]

Bill... the cost of life in Portugal is for foreigners citizens with a origine hight standard of living, low.

People are great, kind and friendly. And I say it not as Portuguese, but someone who has been to places less friendly.

[mikesan]

I have found that the rules insurance companies have can be very arbitrary, but they aren't flexible.

Specialty insurance tends to be expensive, and it always costs more (all insurance does) than the expected loss, averaged across all customers.

If I understand your statement correctly, the insurance company would have to charge more than the company's estimated payout, averaged across all customers. Otherwise they would soon go broke.

[DanK]

If I understand your statement correctly, the insurance company would have to charge more than the company's estimated payout, averaged across all customers. Otherwise they would soon go broke.

Exactly.


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[Manfred M]

If I understand your statement correctly, the insurance company would have to charge more than the company's estimated payout, averaged across all customers. Otherwise they would soon go broke.

Not just the payout, but also the costs of administering the business. There is a lot of overhead associated with the business (actuaries, specialized mathematicians that calculate the risks, sales agents, staff that handles income and payouts, etc, and other overhead (buildings, running the buildings, systems etc.) are all significant cost drivers that have to be recovered in the fees to ensure that the insurance business is viable. These are companies that make profits for shareholders (or policyholders in the case of mutual insurance companies), so they are looking at making money, not just breaking even.

[DanK]

Not just the payout, but also the costs of administering the business. There is a lot of overhead associated with the business (actuaries, specialized mathematicians that calculate the risks, sales agents, staff that handles income and payouts, etc, and other overhead (buildings, running the buildings, systems etc.) are all significant cost drivers that have to be recovered in the fees to ensure that the insurance business is viable. These are companies that make profits for shareholders (or policyholders in the case of mutual insurance companies), so they are looking at making money, not just breaking even.

Good point. What I wrote was seriously incomplete. Someone has to pay all of the people working at the insurance company and selling you the insurance and pony up the profit, and that is the customer.

[rpcrowe]

I have always been wary of combining my photo gear with my homeowners insurance. I am (hopefully) more likely to have a claim for my photo gear than for my home. That happened years ago and the company I was with raised my premiums the next time I renewed my homeowners policy...

[Ken MT]

The insurance companies don't usually lose money, except in the Christchurch earthquake when AMI insurance was not able to cover the claims, and the government had to step in and fill the void. Increasing premiums are now a fact of life for all insurers.

[Antonio Correia]

I have been to the insurance company today and I was told that for the moment the service for photographic equipment doesn't exist except for professionals.
However, they promised me to try.
I hope he can do something about it !