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Gun Insurance, Trophy Insurance, Gun and Trophy Insurance, Big Collections

All Rights Reserved.  -  Gun & Trophy insurance 2016

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

FREQUENTLY ASKED QUESTIONS

1)  Why do I need to buy separate gun insurance?

      My Insurance agent told me guns are covered under my homeowner’s policy?

2)  Are my Guns Covered if Stolen from my Car?

3)  what is the best way to insure guns under your program?

4)  Does your policy pay on a primary or excess basis?

5)  What happens if i purchase a new gun and it is stolen before i notify you to add it to my policy?

6)  What happens if the barrel of my gun blows up? Is there any coverage?

7)  What happens if i have purchased an extended warranty, maintenance contract, service

      contract for my guns and they become invalid due to a loss to my gun? 

8)  What happens if my gun is stolen by someone that I have loaned the gun (to test drive it

      before purchasing). I.e. a conman? 

9)  Is there any coverage for guns and trophies in transit or temporarily not at my location?

10)  What if my trophy is a registered B&C or SCI top 10?

11)  What is the minimum premium?

12)  Can I get a refund if I wish to cancel my insurance?

13)  How do I make a change to my policy?

14)  What coverage extensions are found within your policy?

16)  Why should i buy your program over one of your competitors?

1)  Why do I need to buy separate gun insurance? My Insurance agent told me guns are covered under my homeowner’s policy?

Your agent is correct (partially). Specifically: For all perils insured against under a homeowner’s policy for Coverage C “unscheduled personal property” guns are covered under a “replacement cost” basis or an “actual cash value” basis.  This coverage part covers guns up to the limit insured for under coverage C.  There is one very important exception.  This pertains to the peril of theft.  There is a section of all homeowner’s policies titled “special limits of liability for coverage C unscheduled personal property” that restrict the amounts payable under the policy for the peril of theft.  The types of personal property effected are those items that burglars or thieves target.  These items include: guns, cash, precious metals or coins, stamps, fine arts, jewelry, furs, gold ware and others.  Most policies limit coverage for the theft of guns between a limit of $1,500 and $5,000 TOTAL (not for each gun).

Another reason we feel that guns should be insured under a separate policy (other than homeowners) deals with insurability and privacy.  Some insurers are becoming “gun shy” (no pun intended) on the issue of guns on a homeowner’s policy.  Not so much regarding the guns themselves (values of guns).  They are becoming increasingly nervous of homeowner’s liability for both gun use and potential gun loss (theft of guns).  Liability lawsuits (all homeowner’s policies include liability insurance as well as property insurance) targeting gun owners who have had guns (particular handguns) stolen from them are on the rise.  Allegations of “failure to protect the public” or “negligent storage” or variations thereof are cropping up when a stolen firearm is used in a violent crime. Defense is provided under a homeowner’s policy without limit as well.  Accordingly, this type of loss under a homeowner’s policy, may result in a cancellation or nonrenewal of the homeowner’s policy.  Therefore, why not carve the guns off the homeowner’s policy and alleviate this scenario.

Another important reason is coverage and cost.  Most homeowner’s policy charge between $1.50 to$1.80 per $100 in gun value. Our rate is approximately 1/6 of that amount.  Our coverage format is broader as well and is addressed in other questions.

2)  Are my Guns Covered if Stolen from my Car?

Most insurance contracts that cover guns provide coverage for theft anywhere in the world.  Having said that, there are contractual restrictions that adversely effect the scope of this coverage.  Every insurance contract has “conditions” and “exclusions”.  One specific limitation deals with a provision known as a “locked vehicle warranty”.  Most policies will stipulate that theft of a gun from a vehicle is not covered unless the vehicle was locked at the time of the loss and there were visible signs of forcible entry.  Our contract has a locked vehicle warranty as well, but it is far less restrictive.  Our policy says that theft from vehicles is covered, even if the vehicle is unlocked at shooting venues, shooting clubs, or shooting ranges.  Our intent is to provide broad coverage for theft while at shooting venues. 

3)  what is the best way to insure guns under your program?

There are 3 valuations on our policy in the event of a covered claim, they are; stated amount, replacement cost, and actual cash value.  The best methodology to utilize is stated amount.  In this format, you schedule the gun and accessories, provide serial numbers, and declare a value for the guns to be insured.  Upon a covered claim we will pay up to the amount purchased and possibly 25% more than that (see coverage extensions).  If guns are insured on a misc. blanket amount and there is a covered loss, we will settle the loss as follows: we will utilize 95% condition of gun in Blue Book values and offer the actual cash value for the value of the gun lost/damaged.  The insured then has 24 months to replace the lost gun, once the insured replaces the gun, we will reimburse the difference (if any) to the insured.  All guns over $10k in value have to be scheduled on a stated amount bases.  Many people schedule guns that are less than $10,000 to secure the stated amount format. 

4)  Does your policy pay on a primary or excess basis?

This answer should be considered in conjunction with question 1.  Our policy provides coverage on a primary basis on loss to an owned gun.  This means you do not have to get your homeowners insurance company involved in a loss.  Question #1 alludes to the advantages of not alerting your homeowners company to the theft of your guns.  The only time our policy refers to coverage on an excess basis is when referring to coverage for “non owned guns” i.e. loaners.  Most policies provide coverage for non owned guns if the insured is deemed “legally liable” for the loss.  We will pay up to $15k excess of any valid and collectible other insurance to loss of a non owned gun in our insureds care, custody or control.  Irrespective of legal liability. Refer to coverage extensions. 

5)  What happens if i purchase a new gun and it is stolen before i notify you to add it to my policy?

We have a built in “automatic pickup feature” for newly acquired guns or trophies.  We will provide coverage for guns until the first of these three contingencies arise:

1) you report the newly acquired gun to us

2) 180 days past the date you acquire the gun

3) This policy expires.  The limit for this coverage is $25,000 (refer to coverage extensions). 

6)  What happens if the barrel of my gun blows up? Is there any coverage?

We have added a $5,000 limit for any one occurrence if this arises (under our extension of coverages section).

7)  What happens if i have purchased an extended warranty, maintenance contract, service contract for my guns and they become invalid due to a loss to my gun? 

If loss is a result of a covered cause of loss, and you have included the cost of aforementioned warranty on your schedule of insurance and you repair or replace covered property, we will reimburse you up to $1,000 on the unused portion of your nonrefundable warranty (refer to the extension of coverages section).

8)  What happens if my gun is stolen by someone that I have loaned the gun (to test drive it before purchasing). I.e. a conman? 

We provide coverage under our extensions section up to $25,000 limit for “deceit and fraud” and “willful parting”.  There are some exclusions and restrictions so we suggest you read contract carefully. 

9)  Is there any coverage for guns and trophies in transit or temporarily not at my location?

Yes, we will pay for loss to covered property in transit.  We will also pay up to $500k in covered guns and $100k for covered trophies temporarily at a location other than “your location”.

10)  What if my trophy is a registered B&C or SCI top 10?

Coverage can be increased to twice the limit shown in the trophy schedule for a registered top 10 animal.  This must be approved by underwriting.  Please contact us for any questions.

13)  How do I make a change to my policy?

Changes must be submitted on the “policy changes” tab on the website.  Please be sure to include specifics of the change.  We will contact you with and additional or return premium that is due to process the change.

14)  What coverage extensions are found within your policy?

Please refer to policy form for precise contract language but we do provide up to $2,500 for “rewards coverage” due to documented payments to others for loss caused by theft or vandalism.  See policy form.  We will also pay up to $1,000 for “tax stamps” for a covered loss.  UP to $200 per gun and $1,000 per occurrence (refer to policy forms). 

Additional coverage summary available here: 

15)  Does the deductible apply per gun or per occurrence?

The deductible applies per occurrence.

16)  Why should i buy your program over one of your competitors?

Great question, let us contrast some features of our policy compared to those that may or may not address those features:

A)  Our policy is primary (noncontributory) vs. excess coverage only.

B)  We offer gun and trophy insurance on one policy with one policy minimum premium of $150.  We are the only program (to our knowledge) to do this.  Most competitor’s programs will feature separate policies with separate minimum premiums.

C)  Our pricing is the most competitive available.  Competitors are charging up to 4 times the rate for the value of guns and approximately twice the rate for the value of trophies.  We offer a broad range of deductibles and as previous mentioned, our coverage format is superior (in our opinion) to any out there.

D) We include earthquake and flood coverage.

E)  We have no Coinsurance clause.  Many competitors do have this feature.  Simply: you can be penalized at the time of loss if you underinsure your gun or trophies.

 

F)  Review and compare additional coverage chart on question #14.  Check to see if your current program addresses ANY of these extensions.

 

ADDITIONAL QUESTIONS? 

12)  Can I get a refund if I wish to cancel my insurance​​?

11)  What is the minimum premium​​?

The minimum premium is $150 per year. 

Unfortunately No.  Policies are 100% minimum and deposit premium.

15)  Does the deductible apply per gun or per occurrence?