Government Indemnity Scheme announcement of changes to the Scheme in England to be implemented on 1 January 2016

Please note the changes to the Scheme in England which will be implemented from 1 January 2016:

  1. Increase in the minimum value per indemnified object from £300 to £1,000
  2. Increase in the minimum liability from £5,000 to £25,000 per financial year for national institutions and non-national institutions with Designated collections
  3. All national museums will be asked to sign updated irrevocable undertakings to the Secretary of State at Director level and thereafter in line with their funding agreements

Changes as of 1 January 2016


NATIONALS

  • Minimum Value - an increase in the minimum value per indemnified object from £300 to £1,000
  • Minimum Liability - an increase in the minimum liability from £5,000 to £25,000 per financial year
  • Undertaking - sign at Director level and return to the Arts Council updated Irrevocable Undertaking by 1 December 2015 and thereafter in line with funding agreements

NON NATIONALS with Designated Collections

  • Minimum Value - an increase in the minimum value per indemnified object from £300 to £1,000
  • Minimum Liability - an increase in the minimum liability from £5,000 to £25,000 per financial year
  • Undertaking - sign at Director level and return to the Arts Council annually by 1 December 2015 to ensure in place for new undertakings from 1 January 2016

NON NATIONALS

  • Minimum Value - an increase in the minimum value per indemnified object from £300 to £1,000
  • Minimum Liability - no change - meet the cost of claim up to a limit of £300 for each object, plus one per cent of the total value of the object valued at £4,000 and above
  • Undertaking - no change - Sign at Director level and return to the Arts Council before any indemnity is granted

The Scheme Guidelines have been revised accordingly. These guidelines will replace all previous versions, but any indemnities issued prior to 1st January 2016 will be governed by the previous guidelines and Undertakings in force at the time they were issued.

The Government Indemnity Scheme (GIS) allows the public access to objects within the UK which might not otherwise be available, by providing borrowers with an alternative to the considerable cost of commercial insurance. It means that a museum, gallery, archive or library can arrange to borrow objects from non-national institutions and private lenders and in the event of loss or damage, compensation will be paid to the owner by the Government. Therefore the Government, rather than an insurance company, carries the risk. For further details please contact government.indemnityscheme@artscouncil.org.uk

The GIS can cover loans whilst they are in transit, to and from the borrowing venue, storage, setting up, display and dismantling i.e. nail to nail. It enables thousands of objects to be exhibited around the country and in cash terms it has real value. At a notional rate of 0.5%, a common commercial insurance premium, it saves museums around £15 million a year. Most importantly it facilitates loans, and allows bigger and better exhibitions and long-term displays, giving the public further opportunities to see a wide range of objects in museums, galleries and libraries throughout the UK from Culloden to Croydon.

This is subject a thorough security risk assessment of the transport, venue and exhibition area. For further details on the security aspect please contact nationalsecurityadviser@artscouncil.org.uk.

 

Guidelines

National guidelines

Non-national guidelines