Does it make sense to insure guitar for full value?

[DBW]

I insured mine primarily for theft. My neighborhood is coming up but it used to be really sketchy. There are still some tweaky pockets. Having insurance helps me to not worry so much while I'm at work.

[UncleJesse]

Originally Posted by DavidE

You should have received the $500 in diminution of value plus the cost of repair. Travelers owes you money. Seriously, go back to them.

I did get the price of the repair covered and the appraisal as well. I didn't add that in because my point was about replacement cost being somewhat meaningless.

[Sir strumalot]

I think the OP's logic here is totally wrong. Insurance generally makes sense for events that are fairly rare, but where you would struggle to cover the loss out of your pocket - e.g. your house burns down, your car is totalled. If you think you are only likely to need minor repairs then it probably makes sense to 'self insure' and just cover any loss yourself. OTOH if I was shipping an expensive guitar, I'd be more worried about it being stolen or completely destroyed - losing a few thousand bills would be a disaster in my world, so I'd want it insured. Also you need to be careful about under-insuring your property, I think some policies will reject claims where the items were under-valued.