Category Archives: valuables

Expensive gadgets and toys – the insurance implications

Personal technologies such as drones, gadgets, consoles, video games, GoPro’s and smartwatches have gained popularity. However, it raises many questions when it comes to insurance. Specifically, under which section of your policy are they insured?

Tarina Vlok, Senior Manager for UMA’s at Old Mutual Insure comments, “As with most things that you have insured, it is important to provide your insurance provider with as much information as possible and specify which personal technology you have. This will ensure cover and replacement of any gadget stolen or damaged.”

Gadgets and Toys – Drones and quadcopters

Items such as drones and quadcopters will be considered part of your contents that are covered under the Household Goods section, meaning they are covered inside your home Gadgets and Toys the Insurance Implicationsagainst the defined events listed in the policy wording.

“But we own these items to use them outside, which significantly raises the chances of damage. For example, one gust of wind could shift your drone off course and into a tree,” she explains.

Because of this, it is imperative that these items are specified under the All Risks section of your policy. That will provide adequate cover outside of your home.

Let’s say the drone or quadcopter is specified under the All Risks section. Then it is important to understand that you do not have cover for everything. For example, should a drone incur damage while it is being used for racing purposes, it will not be insured.

Moreover, any damage to third party property or injury to third parties caused by the drone will be covered. But under the Personal Liability section.

Gadgets and Toys – GoPro’s and other action cameras

Photographic equipment has made many significant technological advances throughout the years. You can now take high-definition videos or photographs from a device that is small enough to fit in your pocket. This has increased the likelihood of these devices being used outside of your home.

At home, they will be covered by the defined events listed in the policy wording. However, they will not be covered away from the home (even outside), unless they are specified under the All Risks section.

“If specified, they will be covered anywhere in the world, even while they are used. Remember that they will not be covered by mechanical, electrical or electronic breakdown or failure, unless you specifically include them under the Mechanical and electrical breakdown section,” explains Vlok.

As with any Personal Lines policy, these cameras must only be used for private purposes.

Gadgets and Toys – Smartwatches and fit-bits.

Smartwatches continue to grow in popularity.  The question is whether these smartwatches are watches or whether they are mobile communication devices, which will determine how they must be insured.

There are two classes of smartwatches: those that interact with your mobile device and those that are mobile devices on their own.

“If your smartwatch interacts with your cell phone, we will consider it to be a watch. As such it will be covered at home against the defined events listed in the policy wording. Away from the private home, they will be covered under the All Risks section as general all risk items. General All Risks items include personal items that a person would normally wear or carry,” she says.

However, if your smartwatch also acts as a mobile communication device (i.e. you can make calls from the smartwatch) it will be considered a mobile communication device, which will not be covered under either the Household Goods section (which covers your contents) or as general all risks under the All Risks section. These smartwatches must be specified under the All Risks section.

Gadgets and Toys – Tech toys inside your home

“Typically these items are not normally removed from your private home and therefore they can be safely insured with the rest of your contents under the Household goods section, where they will be covered against the defined events listed in the policy wording,” concludes Vlok.

If the insured has Accidental Damage cover, they will also be covered against accidental damage and most importantly against damage caused by power surges. It is therefore very important for policyholders to ensure that their Accidental Damage cover is sufficient to cover these tech toys against power surge damages while they are charging.

 

Complete and submit the form on this page to get an insurance quote for your gadgets

 

Insuring Musical Instruments in South Africa

There are musical instruments of top quality to match all levels of play. Musical instruments are  relevant in different cultures and Africa has a rich musical culture and many unusual musical instruments. From single musicians to bands and orchestras, South Africa also has a number of traditional yearly music festivals. These include Oppikoppi, Splashy Fen, Woodstock South Africa among others. So insuring musical instruments is going on all the time.

Insuring Musical Instruments – Priceless Value

Musical instruments cost a fortune today. For instance, George Michael bought a Steinway Z Piano owned by John Lennon and Yoko Ono for $2.08 million and its value is still increasing. Small wonder, as this is the very piano that John Lennon composed his world famous song  ‘Imagine’ on.

Just in South Africa, a Chateau Bariton Saxophone can cost close to R50 000. A 2nd hand Steinway Grand Piano can cost R400 000. Some brand new ones from leading brands can cost more than R2 million. Even if you are playing one of the lesser known instruments, once you have tailored it to your liking and added a few accessories to it, its value can add up very quickly. So insuring musical instruments is essential.

Insuring Musical Instruments

Homeowners Insurance Possibly Not Enough

Many South African artists look upon their musical instruments as their bread and butter. Some of them even use instruments which are classified as antiques and which are priceless.

Several insurance companies insure private individuals as well as corporate entities who own musical instruments. Insurance protects their instruments against damage and theft.

Just because your equipment is covered under your homeowner’s insurance policy, chances are that the cover won’t be enough to compensate the total loss. There are always limits on home insurance, and unless you have a rider over those limits, you will only get the limit amount.

You can take out home insurance or household contents insurance, but you may require additional insurance for valuable musical instruments. Specified valuables are items that you want insured for a specific replacement value in the case of them being stolen or damaged.

Insuring Musical Instruments with Various Companies

  • For instance, Old Mutual iWyze insurance of valuables will let you insure musical instruments as part of your household insurance.
  • Hollard, an authorised Financial Services Provider who is also a  member of the South African Insurance Association for instance also insures musical instruments. They know full well that some things are  irreplaceable – like your paintings and  musical instruments which can have enormous sentimental value. Insuring with Hollard means you’re protecting your financial investment, regardless of what happens to them. Their Assets Out is an innovative feature of their  insurance that covers you for up to 10% of your total contents value for any musical instrument or other  belongings you take out of your home. With Assets Out, you get cover for your musical instruments no matter where you go in the world.
  • Then again, sometimes the shop where you buy your musical instruments from, will provide insurance services. They will arrange insurance products for your double bass, keyboard, guitar, drum set and even your flute. Their insurance will ensure repair or replacements of  your musical instruments and musical equipment if damaged or stolen.

Insure – so that the Show can go On

A good musical instrument ensures high-performance shows and concerts for musicians, and because musicians are constantly on the road, their precious guitars, pianos, flutes, trombones, drums and other instruments have to be insured so that the show can go on.

To get a FREE insurance quote, please complete and submit the form on this page now