The Art of Fine Art Insurance Robert Read Head of Art and Private Clients, Hiscox Milan, 10 th April 2013

2 Fine Art

3 Chris Burden The Flying Steamroller

4 Fine Art Edvard Munch The Scream Sothebys, May 2012 USD 119,900,000

5 Fine Art

6 Ai Weiwei Sunflower seeds (Installation for Tate Modern Turbine Hall)

7 Fine Art Tracey Emin My Bed

8 Fine Art Kylie Minogue in Dancing Queen corset and tiara

9 Fine Art Dancing Queen corset and tiara at Kylie: the Exhibition at Londons Victoria & Albert Museum

10 The Art Market Volatility Source: Artnet

The Art Market Old Masters 11

The Art Market Modern Art 12

The Art Market Contemporary Art 13

14 Underwriting Huge values + Variety + No rating guide =

Three Basic Categories Private Collections Museums & Exhibitions Dealers

16 Private Collections

17 Museums & Exhibitions Moving Rembrandts The Militia Company of Frans Banning Cocq & William van Ruytenburch at the Rijksmuseum

18 Dealers

A loss is as good as a sale?

20 Dealers Salander OReilly The Enron of the Artworld – Herald Tribune Fifteen investors claim they were bilked by an Upper East Side art gallery. Its a Ponzi scheme, alleges one - New York Observer

21 Fairs & Storage Facilities

22 Breakdown of Losses

23 Criminal Activity 2008: Pictures worth a reported $160m stolen in a day light armed robbery. Two of the four stolen pictures, a Monet and a van Gogh, recovered after they were discovered in the back of an unlocked Peugot in the carpark of the local mental hospital. Two pictures, by Degas and Cezanne, are still missing. The collection is believed to have been uninsured. Cezanne The Boy in the Red Vest Emil Buehrle Museum, Zurich

24 Criminal Activity The Isabella Stewart Gardner Museum, Boston, USA

25 Stolen Rembrandt Christ in the Storm on the Lake of Galilee

26 Fire Uppark, East Sussex, 1989

27 Fire

28 Fire

29 Fire Momart May 24th 2004

30 Professional Indemnity 17 th January 2008 Lawrences auctioneers 19 th C. French Claret Jug Estimate: £100 – 200 Sold: £220,000 Sale subsequently annulled and consignor sent it to Christies. Discovered to be 11 th C. Fatamid rock crystal ewer Sold £3,243,000 Christies 7 th October 2008 Valued by Sothebys at £20,000, th March 2010

Superstorm Sandy 31 New York, October 2012

32 Conclusion Art is complex Art needs a specialist broker Art needs a specialist underwriter Raul Ortega 168 blinds of the Hiscox building opened or closed to create form