When a diamond is lost, don’t find out after a claim it is not covered. Get a Jewelry Insurance Policy and make sure you are properly covered!!
Your favorite pieces of jewelry aren’t just metal and stone. They’re reflections of who you are. It’s devastating to have jewelry that represents special moments in your life get damaged, lost, or stolen. You need to be sure to these items insured on the right jewelry insurance policy. Most people add these items right on the homeowner’s insurance policy, or assume it is automatically covered with no limitations under the home insurance policy. Think about this scenario.
Imagine you and your spouse are taking a Caribbean cruise, everyone is enjoying themselves, sipping drinks and soaking in the sun. While getting ready for the formal dinner, you realize the diamond in your brand-new wedding ring has gone missing. Is it covered on the home insurance policy? Standard home insurance policies do cover jewelry but with limits on coverage and causes of loss. Theft on a homeowner policy is usually limited to a specific dollar amount. A standard homeowner’s insurance policy is not going to provide coverage if you look down and discover that a diamond is missing from your ring. This is another reason why your jewelry has to be specifically insured.
This was a real-life scenario with one of Crawford Yingling Insurance’s personal insurance clients. Luckily our jewelry insurance expertise covered the claim no questions asked.
How much does jewelry insurance cost?
Rates depend on where you live. But for most people, jewelry insurance will cost 1-2% of the value of your jewelry. For example, a $5,000 engagement ring could cost as little as $50 per year to insure.
Blanket jewelry insurance is also an option. If you have multiple pieces of small jewelry a blanket set limit could cover all pieces. This can be added to a home insurance protection policy for pennies on the dollar.
Do we need an appraisal? YES
The cost of precious metals such as, gold, silver, platinum fluctuates over time. When you insure on a jewelry insurance policy you list a specific amount and that will be the maximum paid if a claim is made. It is always good practice to have the appraisal so you can quickly prove to the insurance company the value, this will help expediate the claim process.