Arts and Artifacts Indemnity Program: Domestic Indemnity

CFDA Number: 45.201
Funding Opportunity Number: 2014FCAHDOM01

Introduction

The National Endowment for the Arts administers the U.S. Government's Arts and Artifacts Indemnity Program on behalf of the Federal Council on the Arts and the Humanities (Federal Council). The Indemnity Program was created by Congress in 1975 for the purpose of minimizing the costs of insuring international exhibitions.  In 2007, Congress expanded eligibility under the Program to include coverage of works of art owned by U.S. entities while on exhibition in the United States. Please view the list of recently indemnified exhibitions.

Nonprofit museums and organizations planning temporary exhibitions may be eligible for coverage. Details appear below.

The indemnity agreement is backed by the full faith and credit of the United States. In the event of loss or damage to an indemnified object, the Federal Council must certify the validity of the claim and request Congress to authorize payment.

Applicant Eligibility

The Arts and Artifacts Indemnity Act (P.L. 94-158) as amended (P.L. 110-161, Sec. 426) authorizes the Federal Council on the Arts and the Humanities to make indemnity agreements with non-profit, tax-exempt organizations and governmental units for coverage of eligible objects owned by public and private collections in the United States, while on exhibition in the United States. For an exhibition to be eligible, the total dollar value of all U.S. loans in the exhibition must exceed $75 million.

If an exhibition is being shown at several institutions, one institution should apply on behalf of all participants. The Federal Council requires that the applicant have previously organized at least one exhibition containing loans borrowed from one or more public and/or private collections.

Applicants requesting coverage for international exhibitions should refer to the guidelines and application under International Indemnity.

Applicants may submit only one application, either under the domestic or the international program, for the same exhibition.

Object Eligibility

Eligible objects include works of art, other artifacts or objects, rare documents, books and other printed materials, photographs, films, and videotapes. Such objects must have educational, cultural, historical, or scientific value.

Note: For reasons of risk, the Federal Council is generally opposed to indemnifying oil on copper paintings, pastels, chalks, charcoals, lacquer objects, certain types of glass (including enamels), works on parchment or vellum, marquetry, frescoes, and other fragile objects. Oversized works (exceeding ten feet in any direction) and oil on wood panel paintings will be reviewed on a case by case basis. Oil on single wood panels larger than two feet by three feet will not be indemnified. Please see Question 11(c) in the Indemnity Narrative instructions for more information.

Indemnity Limits

The Arts and Artifacts Indemnity Act allows coverage for a single exhibition up to $750 million.   The total dollar amount of indemnity agreements which can be in effect at any one time is $5 billion.

Coverage under the Indemnity Act extends only to loss or damage in excess of the deductible amounts that follow:

  1. $50,000 deductible for exhibitions from $75 million up to $125 million in indemnified value;
  2. $100,000 deductible for exhibitions from $125 million up to $200 million in indemnified value;
  3. $200,000 deductible for exhibitions from $200 million up to $300 million in indemnified value;
  4. $300,000 deductible for exhibitions from $300 million up to $400 million in indemnified value;
  5. $400,000 deductible for exhibitions from $400 million up to $500 million in value;
  6. $500,000 deductible for exhibitions above $500 million in value.

Application Process

Applicants must submit an application for review by the Indemnity Advisory Panel and the Federal Council on the Arts and the Humanities. Announcements of Certificates of Indemnity will be made after the Federal Council has met. If an application or object has been rejected, the applicant may submit a request to the Indemnity Administrator to provide a written response stating the reasons for rejection (please see Contact below).

Please see the full application instructions

Application Submission Deadline Dates

The next application deadlines are January 6, 2014, for Certificates that may be issued as early as April 1, 2014, and July 1, 2014 for Certificates that may be issued as early as October 1, 2014.  (The Advisory Panel and Federal Council meetings occur approximately one month and two months, respectively, following the deadlines.) An application should not be submitted more than one year and three months in advance of the indemnity period.

To assist the Panel and Council with long range planning of indemnity allocations, future applicants are encouraged, but not required, to submit preliminary statements about exhibitions as much as four years in advance of the indemnity period. Updated material may be submitted subsequently, as appropriate. Send all material directly to the Indemnity Administrator (see Contact below).

Credit Requirement

In all published material and announcements concerning an indemnified exhibition, the following acknowledgement must appear:  "This exhibition is supported by an indemnity from the Federal Council on the Arts and the Humanities." (Do not include any logo.)

Arts and Artifacts Indemnity Act, Federal Rules and Regulations, and Certificate of Indemnity

Arts and Artifacts Indemnity Act

Rules and Regulations, October 1991

Technical Amendments for Domestic Indemnity, April 2008

Certificate of Indemnity

Contact

For questions about the Indemnity Program, please contact:

Patricia Loiko
Indemnity Administrator
National Endowment for the Arts
1100 Pennsylvania Avenue, N.W.
Washington, D.C. 20506
telephone: 202-682-5541
fax: 202-682-5721
e-mail: loikop@arts.gov

or

Laura Bramble
Assistant Indemnity Administrator
National Endowment for the Arts
1100 Pennsylvania Ave, NW, Suite 729
Washington, DC 20506
202-682-5035
fax: 202-682-5721
e-mail: bramblel@arts.gov

December 2013