You are organizing a celebrity closet. You are moving a collection of Hermes Birkin bags. You scratch the leather on a Himalayan Birkin (Value: $100,000+). Your General Liability policy has a “Care, Custody, and Control” limit of $2,500. You are uninsured for $97,500.
Key Takeaways
- Standard Limits are Low: Most cleaning/organizing policies cap “Voluntary Property Damage” at $2,500 or $5,000. This is insufficient for luxury closets.
- Inland Marine / Bailee Floater: To cover high-value items you are touching/moving, you need a “Bailee Floater” with a high limit (e.g., $100k or $1M).
- Appraisal Requirement: Insurance pays “Market Value.” For a Birkin, market value is higher than retail. You need a policy that understands “Appraised Value” or “Replacement Cost.”
- White Glove Protocols: If you weren’t wearing cotton gloves (industry standard for luxury), the insurer could argue negligence/workmanship issues.
The “Why” (The Trap): The Sub-Limit
You see “$1 Million General Liability” and think you are safe.
The Trap: That $1M is for burning the house down.
For items in your hands (Care, Custody, Control), the sub-limit applies. It is almost always tiny.
If you work in High-Net-Worth (HNW) homes, a standard policy is effectively no insurance at all for the contents.
The Investigation: Insuring the Ultra-Rich
I called carriers who specialize in HNW services.
1. Chubb / Pure (via Broker)
- My Analysis: They write policies for vendors serving HNW clients.
- The Coverage: High limits for “Property of Others.”
- Cost: Expensive ($2k+/year), but necessary.
2. Specialty Riders (Hiscox)
- My Analysis: You can sometimes bump the “Property Damage Extension” to $25,000.
- Verdict: Good for normal rich, not “Birkin rich.”
3. Waivers
- Strategy: Ask the client to sign a waiver stating their Homeowners insurance is primary for contents, and they waive subrogation against you. (Hard to get a celebrity to sign, but worth a shot).
Comparison Table: Luxury Liability
| Item Value | Standard Policy Limit | You Pay | Bailee Floater Limit |
| $2,000 Purse | $2,500 | $0 | Covered |
| $20,000 Bag | $2,500 | $17,500 | Covered |
| $100,000 Bag | $2,500 | $97,500 | Covered |
[IMAGE: Photo of a ‘Luxury Goods Handling Protocol’ card with cotton gloves]
Step-by-Step Action Plan
- Check Your Limit Today: Look for “Voluntary Property Damage.” If it’s under $25k, do not touch the Birkins.
- Buy a Floater: Call your broker and ask for an “Inland Marine” policy for client property.
- Video Inspection: Video the bags before you touch them to prove pre-existing scratches.
- Gloves On: Always use white cotton gloves. It’s theatrics, but it’s also liability protection.
FAQ Section
Can I ask the client to move the bags?
Yes! “I do not handle items valued over $10k” is a perfectly valid business policy.
What if I trip and fall into the rack?
That is “Accidental Property Damage” (GL). It might have a higher limit than the “Care, Custody, Control” (Workmanship) limit. It depends on the policy wording.
Does my bond cover this?
No. You didn’t steal the bag.