How to Insure Jewelry The Proper Way

A common concern of many customers is how to insure valuable jewelry. It is best to ask an experienced jeweler how to protect your important pieces so you know they are protected.

Insuring jewelry is simple. It is easier that you might think. Here is the information needed to properly insure jewelry.

Jewelry is Usually Insured

Most people already own insured jewelry. Most homeowners' or renters' insurance policies cover personal property, including jewelry, up to a specific dollar value. Read the policy to understand the coverage. Typically, an insurance policy covers a maximum dollar value for “personal property." Personal property includes jewelry, electronics, and furniture, but there is a limit on the dollar value for a single item. A policy might cover $30,000 in personal property, with no single item valued over $5,000. This type of blanket coverage lacks reporting requirements for specific items.

There are policy items worth investigating. Check the policy for:

• Documentation requirements when filing claims
• Damaged item coverage
• Deductibles
• Requirements for appraisals or original sales slips

Have this information as early as possible; it is difficult to find information at the time when filing claims.

Insurance Appraisal Requirements For Jewelry

It is a wise practice to appraise any items of significant value. Jewelry is no different. Get jewelry appraisals from trained professionals. If your jewelry is lost or stolen, a jewelry appraisal provides essential details and helps replace cherished pieces should a loss occur. Jeweler appraisal certifications are not legally required yet receiving appraisals for certified experts strengthens any claim. Certified gemologists understand why a piece is valuable. These experts remain abreast of industry trends affecting the value of the jewelry. At Braunschweiger Jewelers, we have GIA and AGS-trained appraisers ready to assist.

Professionals appraising the jewelry inform customers of the type and weight of stones. Diamond certification is valuable because getting exact measurements of a set stone is difficult. Diamond certification ensures specifications are 100% accurate. Also, the metal weight and a description are helpful. Taking a few pictures helps but make sure your insurance company requires them. Adding professional photos increases appraisal costs.

Starting the appraisal process takes little time. Reputable jewelry store's expert staff routinely appraise jewelry. The appraisal fee reflects the expertise of the appraiser. Most jewelers will charge on a per-piece basis. Find out pricing details before arrival. Typically, an appraisal costs $150 or more.

Remember, with several items or a complex piece, it may be required for the item to be left with the appraiser.

When Should Jewelry Get Insured?

There are two common reasons to insure specific pieces of jewelry.

The first reason is a homeowner’s or renter’s insurance policy doesn't cover jewelry. The second is if a piece of jewelry has greater value than the homeowners' or renters' insurance policy limits.

A reputable jewelry insurance company is Jewelers Mutual Insurance Company. They specialize in insurance for the jewelry industry and individuals. They offer free quotes to insure items and require a recent detailed appraisal done by a qualified appraiser. Ask for the required documentation.

What is the Cost of Jewelry Insurance?

Insurance varies depending on policy and company, but expect to pay $1 to $2 for every $100 it would cost to replace jewelry. For example, if a ring cost $8,000 to replace, expect to pay approximately $80 to $160 per year in insurance fees. Additionally, jewelry insurance varies based on location. In cities like New York or Jersey City, the risk of theft is higher than in the suburbs, therefore the rate of insurance is also higher.

Final Thoughts on Jewelry Insurance

Having your jewelry insured is not complicated. It may require research, calls, and documentation, but the peace of mind provided by insurance is priceless.

If unsure about insuring jewelry, determine if enough funds exist to replace it if it is lost or stolen.  Understand some items like a grandfather’s pocket watch or a favorite aunt’s cameo brooch may be irreplaceable, and therefore no insurance could cover this sentimental value.

To learn more about jewelry insurance or get jewelry appraised, visit either of our New Jersey jewelry store locations in Morristown or New Providence and talk to our expert jewelers. Talk to someone directly about appraisals by contacting us online at info@braunschweiger.com or filling out our contact form. We’ll answer questions quickly, accurately, and responsibly.