Bloomberg the Company

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Follow Us

Industry Products

The Real Cost of Owning Gold

By Lewis Braham - 2012-09-27T20:30:53Z

Photograph by G Fletcher/Getty Images

Company Symbol % Change
6 of 13

Insuring Gold

Most home insurance policies won't cover more than $1,000 of gold. Unlike fine jewelry, gold is considered currency by insurers because of its fungibility. They don't like covering it because if stolen, gold can be melted and sold. Some will cover coins as collectibles with a "personal articles" rider. Ace Group, an insurer that covers coins and bars, charges between $1 and $1.50 per $100 of gold, depending how secure your house is. Insuring gold means someone knows you have it, though. For gold bugs who fears Armageddon and big government, this defeats the purpose of owning physical gold. The IRS can subpoena insurance records.

Advertisement