What the form is
The IH DS 87 Fine Arts Museums Declarations is a crucial component of an insurance policy covering fine arts for museums. It works in conjunction with the Fine Arts Museums Coverage Form (IH 00 87) and other common policy forms (like IL DS 00, IL 00 17, CM DS 02, and CM 00 01) to define the specific terms and limits of coverage. This declarations form does not contain general information like the named insured, mailing address, policy period, or business description, as that is typically found on the Common Policy Declarations (IL DS 00). Instead, the IH DS 87 focuses on the specifics of the fine arts coverage.
Classes of business it applies to
This form is specifically designed for museums and similar institutions that own or are responsible for fine art. This includes items such as antiques, etchings, drawings, tapestries, sculptures, porcelains, china, and marble. It is not intended for fine arts dealers or other commercial entities that are not museums.
Real-world example: A city art museum with a diverse collection of paintings, sculptures, and historical artifacts, some owned and some on loan from other institutions or private collectors, would use this declarations page to specify the coverage limits for art at their main building, at a temporary exhibition hall, or while in transit for restoration.
Special considerations
An important aspect of this form is how it addresses limits of insurance. Coverage is not tied to a single, specific location. Instead, the form allows for specifying limits for:
- Property at Your Premises: Multiple museum premises can be listed, each with its own limit of insurance.
- Property at Unnamed Premises: This limit applies to fine art that is off the museum's premises but at other locations (e.g., on loan, at a conservator's studio).
The form also includes sections for:
- Additionally Covered Property
- Breakage Exclusion (if applicable)
- Deductible
- Rates and Premiums
- Special Provisions: This section allows for the inclusion of any unique terms or conditions agreed upon by the insurer and the museum.
Key information for agents and underwriters
Agents and underwriters should note that the IH DS 87 is an advisory form. The structure of the limits section is particularly important for accurately reflecting the museum's diverse exposures, especially when art is frequently moved or displayed at various locations. Underwriters will need to carefully assess the values at each listed premises and the potential exposures at unnamed locations. The 'Special Provisions' section can be critical for tailoring coverage to the unique needs of a specific museum, such as addressing specific transit requirements or unique valuation methods for certain pieces. Risk assessment should consider the security measures at all locations, the nature of the collection, and the museum's handling and transportation procedures.