“Today, gold hovers around $1,700 USD per ounce, and in the last two months or so has crossed the $1,800 per ounce barrier. Gold has historically been deemed a strong, safe investment and a hedge against market downturns. And, while gold is a most durable metal, it still needs protection,” said Anton Antonov, a Fine Art & Specie underwriter with XL’s Global Specialty group.
“With gold prices at an all-time high, businesses and individuals vested in the shiny metal are being ever more vigilant in protecting it,” said Mr. Antonov. “From mining companies to bullion dealers to private investors, more businesses are pushing the demand for insurance coverage to protect gold from physical loss or damage.”
“As the price of gold goes up, these companies have to buy more insurance to cover the higher values beginning at the mine and carrying through to the safety deposit box. Likewise, with the financial market and sovereign debt crisis, many private investors have accumulated substantial amounts of gold as a seemingly safer investment, but risk being under insured if their insurance coverage has not kept pace with their gold values,” explained Mr. Antonov. “Fortunately, the current property market, and more directly the specialized Specie market, offers not only the necessary capacity, but the valuation and risk management guidance to go along with it.”
Available with policy limits to $150 million, XL’s Specie coverage is tailored to the needs of financial institutions, metals and mining companies, metals traders, refineries, transporters, storage facilities or individual investors. The ‘All Risk’ coverage provides physical loss or damage protection, with options to include coverage against employee theft, transit and marine cargo risks associated with the transport of gold and other precious cargo such as ore, silver, platinum and diamonds. XL’s Fine Art & Specie team offers precious metal coverage to meet all the needs of those companies that mine, refine or trade in metals. In Canada, XL’s Specie coverage is provided by XL Insurance Company Limited, Canada branch and in the US, by XL Specialty Insurance Company.
About XL’s Insurance Segment
The Insurance segment of XL Group plc offers property, casualty, professional and specialty insurance products globally. Businesses that are moving the world forward choose XL as their partner. To learn more, visit www.xlgroup.com/insurance
About XL Group plc
XL Group plc, through its subsidiaries, is a global insurance and reinsurance company providing property, casualty and specialty products to industrial, commercial and professional firms, insurance companies and other enterprises throughout the world. XL is the company clients look to for answers to their most complex risks and to help move their world forward. Its principal offices are located at No.1 Hatch Street Upper, 4th Floor, Dublin2, Ireland. To learn more, visit www.xlgroup.com