Are Dealers Insurance Scammers?

Charles Dupplin certainly seems to suggest so in The Art Newspaper which cites a tendency to reduce risk management and cut corners as one of the causes of increased claims by art dealers. But Dupplin says that Contemporary art dealers should be watched particlulary closely because “a loss is as good as a sale:”

“Not since the early 90s have we seen so many suspect claims. Some appear distinctly recession driven,” says Dupplin. “In the early 90s, a lot of naughty stuff happened within the dealership community. The market had collapsed and they had very high overheads. They were desperate. I think it’s fair to say that some parts of the art market became morally flexible.”

The article goes on to offer examples of the way dealers try to put one over on their insurers including over-valuing lost or stolen work and trying to pass off minor works as more important–and more valuable–pieces.

Art Insurers on High Alert for Fraudulent Claims (The Art Newspaper)