Interesting! If everything went up in smoke, at least I have a list of all my CDs (about half of yours), which would help prove their former existence. Fortunately, I've no experience of loss or claims of this sort. As for burglary, who'd want the stuff? Have to be a pretty cool burglar! I once left a bag of about a dozen jazz LPs (Blue Note, Riverside, etc) on a train which traveled a hundred miles to its terminus, where someone handed it in intact. As they say, you couldn't give it away!
My thoughts too!
I'd be mortified to lose my collection. But I never think of it in monetary value. It's never been a financial investment (just as well as I tend to dump unnecessary packaging and rely mainly on dl these days).