Private practice

>Sandy Wassenmiller <sandwass<-a t->flash< . >net> writes
>
>>I would like to know if book and paper conservators working in
>>private practice carry insurance for objects they work on.
>>...
>>Is insurance a concern with
>>conservators generally?

>Craig Deller replies:
>Our practice is primarily the decorative arts, and we do carry some
>liability, but we make sure that the client understands that the
>burden of insurance is the client's. Plus, we include in the
>contract a provision that with very severely damaged objects, any
>risk of damage to the object, because of its chemical makeup or
>inherent vice, is the client's.  Insurance is a *big* concern with
>no easy answers.

I am in private practice and I specialize in the conservation of
horological objects. I buy  a lot of various insurances including
liability. No object enters my studio without being insured by my
insurance company. Each client proportionately shares in the cost
for this insurance even if they have their own insurance policy on
the object. When a suit or claim is made, the person holding the
object is the one responsible for it even if the client is aware of
the "risks" and even if they have insurance. After the clients
insurance company pays them, their insurance company will subrogate
against you! You must protect yourself. I know because five years
ago my business was totally destroyed by a fire which started in
another studio. I was not insured properly nor did I have enough
insurance to cover the value of the objects in my studio. My clients
either sued me or their insurance companies did. It was an ugly four
years: I experienced far more litigation than I had ever wanted to
experience in my lifetime. I am now meticulous regarding values,
records, and back-ups. Disasters can take many forms.

I usually request a recent (within five years) appraisal from a
Certified Appraiser to determine the value of the object to be
insured. The cost of the appraisal is borne by the client. In cases
that I don't request an appraisal, the client and I negotiate the
value and both of us sign a form to that effect and it lists the
sources from which  the values were derived. The form also states
that I am not responsible for the difference in value should the
insurance company not pay the agreed upon value. The form also
states that I am not a Certified appraiser and that I have no
financial interest in the object other than the conservation of it.
The form not only specifies the value that the object is being
insured for but it also specifies the contribution that the client
is making for the insurance based upon a percentage of the
evaluation. All of the disclaimers on earth will not stop a suit:
they may make it more difficult for the client but if they have a
good lawyer, they will find a way through the disclaimer. I will
make my forms available for your use or modification.

Take a walk through your studio today: add up all of the object
values and then compare it to your insurance. If you don't have
enough coverage, call your broker immediately and increase your
coverage. It is not worth the risk by postponing additional
coverage. When the objects leave and your exposure is reduced, call
your broker and reduce your coverage.

In addition to the above insurance, all private practitioners
should have professional liability insurance,  contents insurance,
shipping insurance, loss of income insurance, worker compensation
insurance, as well as on-site insurance.

I hope I have frightened all of you.

I hope you will take advantage of my experience to examine your
coverages and the way you do business.

Jim Moss
James Moss Clockmakers, Inc.
Acton, MA 
508-263-0300

                                  ***
                  Conservation DistList Instance 10:63
                Distributed: Wednesday, January 15, 1997
                       Message Id: cdl-10-63-002
                                  ***