Art gallery insurance to protect your business from the ugly, unexpected risks.

The risks your business faces might not be pretty, but art gallery insurance may help.

How can you protect the artwork in your art gallery?

The artwork on display at an art gallery accounts for much of your business’s investment. For that reason, having insurance coverage for those works of art is paramount. One potential solution involves all-risk property insurance, which may cover artwork for a variety of risks (except those which are specifically excluded). So, for example, it may cover artwork from things like theft, flood, fire, loss, as well as damage while in transit. Another essential coverage includes art title insurance. High-value art could get stolen, and that stolen artwork could end up in your art gallery. If the original owner disputes your ownership and files a lawsuit, art title insurance would help cover defense costs, as well as refund you should the original owner have a legal claim to the work of art.

What are the most common coverages needed for art galleries?

Depending on the scale of your art gallery, you might have employees who help make your operations possible. If you do, there are some coverages that you’ll need to consider. One such coverage includes employment practice liability insurance, which provides coverage for lawsuits brought by current or former employees at your art gallery. Directors and officers liability insurance (D&O) is also important, as it helps cover the personal assets of directors and officers at your art gallery should they be individually named in a lawsuit. In addition, art galleries thrive on hosting exhibits and other events, which means the cancellation of an event can hurt your business. For that reason, event cancellation insurance for covered events may cover loss of revenue and other related consequences with postponing or outright canceling an event due to covered causes.

The risks of owning and operating an art gallery.

While art galleries are places to experience the beauty of art, there are risks lurking beneath the surface when it comes to owning and operating one. Because of the high value placed on works of art, they are prime targets for theft. If the crowning jewel of your art collection is stolen, do you have enough insurance to recover from such a devastating loss? If you take a work of art to be appraised and it is damaged or destroyed while in transit, is that piece of art properly covered? And if a guest or employee is injured while on the premises of your art gallery, can you afford the costs of potential lawsuits related to those injuries? All of these risk factors are important to understand. Here are some coverage options to consider in your art gallery insurance policy:

The business side of art galleries.

Your art gallery might not look like most other businesses, but at its core, it needs to be protected. Because of the high volume of foot traffic that your gallery generates, the risks go up simply because of the visitors who walk through your door. General liability insurance is important to have, as it offers coverage for the expenses associated with defending lawsuits brought up by personal injury or property damage claims. In addition, commercial property insurance offers coverage for the building itself, should it be damaged due to a covered event. Also, cyber liability insurance is increasingly vital for art galleries, as the information on buyers and guests could get into the wrong hands during a cyber-attack.

Are you ready to protect your business with art gallery insurance? Contact us to discuss your needs and coverage options.