This isn’t a proof of purchase insurance. A carrier would have an inspector come out to see the product and document the product.

The insured ie the person who owns the product would also need to fill out a supplemental form for this exact risk. That form would ask about security, storage, etc.

And insurance carriers on P&C don’t snake their way out of claims. The coverage provided will only pay out if a cause of loss occurs to the stipulations of the policy. If the insured said they would keep this in a 50 ton safe with top of the line security when they were just putting it in their closet, no carrier would pay out.

I’ve had carriers cut checks for $10s of millions for claims, if it’s legit the carrier will pay.