How to Buy Insurance on Gold & Silver Bullion
Your precious metals are valuable investments, just like your home and any other property you possess. If you take your precious metal investment seriously, you must protect your investment from any/all unforeseen circumstances.
Protecting yourself financially from stolen or lost bullion is just as important as making the decision to purchase precious metals to begin with.
Securing Your Bullion in Canada
The first step is to keep your gold and silver bullion safe. Here in Canada, you have a wide range of options from bank vaults to basement safes to bookshelf hidden cubbies. But to further ensure the security of your physical bullion, you should strongly consider buying insurance.
Now you might be thinking that your standard ‘home contents’ policy would cover bullion if it is located in your home, but you are best to read the fine print since there are often clauses that exclude certain items, and bullion is occasionally included in this.
Even banks rarely insure the contents of their vaults. In many cases, no matter where your investment is located, standard policies do not cover gold and silver bullion.
You’re best to read your current insurance policies or ask your insurance provider.
Your Insurance Company Can Help You With Precious Metal Insurance
Reach out to your home or business insurance agent. There are some agencies that can add on your gold and silver bullion as a ‘rider’. Do understand that not all agents deal in bullion insurance, but they can likely point you in the right direction to properly cover your investment.
Be sure to read your insurance policy in its entirety and get second opinions. Some insurance coverage does not cover certain loss reasons, such as theft by employees, while others only cover up to 20% over the purchase price of your gold and silver bullion. So, if your investment has already appreciated over that amount, you could be stuck.
Damage compensation can also come not only as cash but also in the form of replacement with other precious metals.
There’s a lot to consider, so do your research. Review your current policies, get multiple quotes, ask questions and protect your investments.