(Image source: WAX Insurance homepage.)
WAX Insurance Services, a New York-based startup focused on protecting and unlocking value for the collectibles industry, has announced the launch of new online mono-line collectible insurance policies designed to protect collectors from loss, damage, and theft worldwide. The policies are underwritten by Chubb (Zurich/Warren, N.J.).
“WAX is the first company to offer a full digital quote-to-bind experience narrowly focused on individuals seeking collectible insurance,” notes Rich Vinhais, COO, WAX. “We’ve developed a user experience and underlying technology that reflects a deep understanding of what makes collectors collect. Whether it’s covering a multi-million dollar sports memorabilia collection accumulated over a lifetime or protecting a special watch handed down from father to son, we feel a proud responsibility to help our customers protect what they love.”
According to Real Assets Advisor, the estimated global market for collectibles was $372 billion in 2020 with expected growth of 40 percent to $522 billion by 2028. With the collectibles market booming, demand to insure this growing asset class is skyrocketing. WAX describes its mission as enhancing financial services for this sector through positioning as an important trusted resource for collectors nationwide.
“WAX was built for collectors by collectors,” adds Vinhais. “We believe in creating trust and financial efficiencies for all collectors, and we are excited to be adding an array of financial products that help further reduce the friction of legacy paperwork, in-person appraisals, and lengthy underwriting times.”
Efficient Platform for Collectors
WAX is a venture-backed company that recently raised a $10 million seed round investment led by Slow Ventures (San Francisco) and AV8 Ventures (Palo Alto, Calif.) with participation from NVP, TGV, and a number of celebrity collectors, including DJ Skee, Josh Hart, and Jason Robins, CEO of DraftKings. WAX says the investment will help the company expand globally, beginning with Europe. Today, WAX offers a digital wallet for collectors, a robust mobile app, and an insurance product that provides what the company calls an efficient platform for collectors to manage, insure, and borrow against collectibles, all from a smartphone.
“With collectibles emerging as a legitimate asset class, financial service products like those offered by WAX will be fundamental to the growth of the collectibles ecosystem,” comments Kevin Colleran, the lead investor from Slow Ventures. “Allowing collectors to unlock liquidity and potentially even build wealth without having to sell their collectibles is a huge differentiator.”