Insurance

kfetty
By kfetty on Fri, May 10, 2013 - 10:36am

Just wondering what opinions are relating to insurance for storage at home.  A storage vault I talked to suggests homeowners policy should be amended through a rider but cautions that limits sometimes exist, sometimes the maximum is a measley $2,000.  Our homeowner's is managed by local people and we're afraid even asking the question could lead to chatter and therefore risks.  Second, would anyone know if Umbrella insurance covers PM if not disclosed?  Thank you in advance for any leads or suggestions on this topic.

2 Comments

Boomer41's picture
Boomer41
Status: Silver Member (Offline)
Joined: Nov 30 2008
Posts: 132
Insurance, risk and self reliance

At a certain point we have to accept there is no way to go through life without risk. Even if your PM is well distributed geographically and in lots of different forms, all of it is at risk to a certain extent - some much more than others. Is an allocated bar of silver at the Perth Mint in Australia more or less secure than a similar bar in your gun safe at home? Gold bars in the Delaware Depository are insured by the management of the depository (at least it says so in the contract), but what if the insurance company collapses like AIG when TSHTF?

My advice is to not put all of your gold or silver eggs into one basket. Spread it around and you spread the risk. No burglar can get to your PM if it is in a bank in Zurich. On the other hand a gold bar in Zurich won't be much use to buy a loaf of bread and a dozen eggs if the dollar collapses. To buy groceries you would be advised to have a stash of pre-1964 silver dimes and half dollars well hidden somewhere in or near your home.

We are heading into unknown territory. Nobody can predict what will happen, never mind when. I think we should all be prepared to accept some loss if the situation becomes really ugly. The trick will be to limit the loss in any one scenario to a manageable fraction of your total assets.

If you are storing PM at home, by all means insure it with Lloyds if you can, but I respectfully suggest the best insurance is to have it really well hidden, don't talk about it to ANYONE, and keep a loaded shotgun next to your bed.

kfetty's picture
kfetty
Status: Member (Offline)
Joined: May 5 2012
Posts: 7
Couldn't agree more

Boomer41 - we couldn't agree more on your answer.  Exactly our thinking. Except for the loaded gun part we are following that strategy -- junk silver at home, use vaults, use accounts, get energy independent as much as possible, grow food, involve ourselves with community and wait for the SHTF.  Thanks for setting our minds at ease -- insurance is a concept that will be tested in the coming years but in some cases is not worth the test.  

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