Importance of an asset inventory

Even with everything insured, without an asset inventory -- especially one that is itemized with video and photos, you could spend months fighting with the insurance company for reimbursement or replacement of missing items. In a perfect world we would be able to go to the insurance office, insure our residence and belongings for "x" amount of dollars, and that would be good enough. However, the reality is that in the event of a loss, the insurance company will want to see detailed proof of that loss.

Most of us never complete an asset inventory. Yet we continue to accumulate, buy newer equipment, upgrade entertainment systems, inherit antiques and family heirlooms, acquire artwork, etc; often storage units are a necessity. The distressing thing is – few of us could sit down and remember everything we own of material value if we had to, let alone supply sufficient information for an insurance company.

What if you lose your home and valuables? What if a thief invades your business and wipes out years of hard work.

Everyone who owns a computer knows the value of a recent backup in case of a crash. Similarly, you can rely on an asset inventory report that includes the make, model and serial number, and copies of receipts. This report can also be stored with your other important documents such as deeds, birth certificates, and account information, in a safety deposit box. The asset inventory can maximize insurance benefits, determine if you are under or or over insured, facilitate theft recovery, or be used for pre-nuptial and divorce arrangements. Most of all, a detailed asset inventory creates peace of mind. If you don't have a camcorder, camera, or the time - (or even if you do) using a third party asset inventory service is an excellent idea and an easy way to validate your belongings to an insurance company.
A good asset inventory service is licensed, bonded and insured and offers a certified report that includes photos and a digital copy with video on a CD/DVD. The one-time cost of an average third party asset inventory is usually less than what most people pay a year for car insurance.

Please make sure you have sufficient insurance and are covered in the case of fire, flood, hurricane, or theft.