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ART INSURANCE
BACHELAR OF COMMERCE
SEMISTER-VI
FOR THE ACADEMIC YEAR 2017-18
Submited By
ROLL NO.
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DRCLARATION
I am PRANOUTI UTTAM GHOSALKAR student of T.Y.BCOM
Banking & Insurance Semister VI (2017-18) hearby declared that I have
completed the project on Art insurance.
Signature of student
PRANOUTI U. GHOSALKAR
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ACKNOWLEGMENT
I want to thank the following people for making this project a success.
My project guide Mrs SHURUTI SHUNCHE who has given shape to this
project by giving the required guidance to prepaire the project as per the
requirement of university
I would not like to forget my parents who have played a vital role behind
the scenes so that project would be worth presenting in front of you.
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EXECUTIVE SUMMARY
Art is a diverse range of human creativities in creating visual auditing or
performing artifacts artworks, expressing the author’s imagination or
technical skill, intended to be appreciated for their beauty or emotional
power. In their most genral from these activities include the production of
works of art, the crticim of art.
Art normally insured based on the recent appraisal. The apprsial must be
done by qualifies person. The owner can insured the item at the appraisal
value or a lower value but not ahigher value. The insurance company and
the owner agreed values a legal and binding term. The insurer will not pay
more than agreed value even if the market value can increased.
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OBJECTIVES
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LIMITATIONS
1. Lack of data available about art insurance.
2. During making this project some difficulties are assumed like non
corporation from respondent.
3. There are some problems are assumed in collection of data about art
insurance.
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SCOPS
1. Knowing the various aspect related to the art insurance policy.
3. It has been observed that india art maker is witnessing a boom and
then too unprecedented.
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RESEARCH METHODOLOGY
PRIMARY DATA
SECONDARY DATA
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INDIAN VIEW
The India rich are warming up to insuring their art and valuable collections
thanks to the value- added service provided by insurers and their flexibility
in accepting ‘agreed value’ worth customers insuring 350 pairs of shoes
but instance of high-net-worth customers ensuring350 pairs of shoes but
extraordinary covers are nothing compared to what AIG insurers in the US.
Valuables include $13 million worth of shrunken heads a 15th century book
Written on human skin and frozen are installation make in the artist blood
In the last four years, Tata AIG has been covering are and other valuables
collection of hundreds of rich Indians and has a sum insured of cover
Rs.500 corer. Customer include ultra-high-net-worth businessman to film
stars and the insurer has already paid out a handful of claim for theft.
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GLOBLE VIEW
Art museums buy less insurance that widely believed. In many countries
they do not get government help to insure their collections, so some do not
insure at all or else they insure only part of their collection. Edward munch.
The scream for instance was not insured when it was stolen in 1994 from the
national gallery in Oslo. It was later recovered. National musicians in Britain
may not buy insurance. They are “self-insured”, which means they must
settle claims out of already overstretched budgets. In case theft a museum
could be left with an empty space on its walls, or, put more politely, with a
“loss to the nation”
As risk go, insurers think of fine art attractive one. Transport is the biggest
risk, theft the most glamorous. The first can be reduced by expertly packing
and shipping sculptures or paintings. The second is limited by the problems
in fencing a famous Picasso or Monet. In addition, few connoisseurs think
of damaging a work of art as opposed to, say their spouse purely for the
insurance claim.
Even so, insuring art has its pitfalls. Insurance are rare, but they can be
expensive. This is particularly true when an insurance policy it is
compensate works at their current market value rather than at a pre-agreed
value.
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Chapter 3 insurance
What is insurance
Purpose of insurance
Kinds of insurance
Principles of insurance
Insurance broker
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WHAT IS INSURANCE
Insurance is a means of protection from financial loss. It is a form of risk
management primarily used to hedge against the risk of a contingent,
uncertain loss.
The insured receives a contract, called the insurance policy, which details
the conditions and circumstances under which the insurer will compensate
the insured. The amount of money charged by the insurer to the insured for
the coverage set forth in the insurance policy is called the premium. If the
insured experiences a loss which is potentially covered by the insurance
policy, the insured submits a claim to the insurer for processing by a claims
adjuster. The insurer may hedge its own risk by taking out reinsurance,
whereby another insurance company agrees to carry some of the risk,
especially if the risk is too large for the primary insurer to carry. Methods
for transferring or distributing risk were practiced
by Chinese and Babylonian traders as long ago as
the 3rd and 2nd millennia BC, respectively. Chinese merchants travelling
treacherous river rapids would redistribute their wares across many vessels
to limit the loss due to any single vessel's capsizing. The Babylonians
developed a system which was recorded in the famous Code of Hammurabi,
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1750 BC, and practiced by early Mediterranean sailing merchants. If a
merchant received a loan to fund his shipment, he would pay the lender an
additional sum in exchange for the lender's guarantee to cancel the loan
should the shipment be stolen, or lost at sea.
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