Don’t find out after a claim that your precious wedding ring is not covered. Make sure you are covered with the proper jewelry insurance policy!
Why should I not leave my jewelry insurance coverage on my Homeowners Insurance Policy?
Jewelry is not only a financial investment it has emotional ties that come along with the purchase. Your wedding ring, the first locket that your boyfriend gave you, that first piece of jewelry you saved months or years to purchase. You need to be sure that you have these items insured properly on the right jewelry insurance policy. The most common practice is to add these items right on to your homeowner’s insurance policy or worse yet, assume that they are automatically covered with no limitations under your homeowner’s insurance policy. At Huff Insurance, we can help you find the right Jewelry Insurance policy separate from your home insurance.
Most standard homeowner’s insurance policies do cover jewelry as part of your personal property insurance coverage. But how much they cover is the real issue. First of all, you need to understand the limitations in the coverage. For theft of jewelry, there is a specific dollar amount that is covered on the home insurance policy, this limit is very small compared to the cost of gold and diamonds today. In addition, your deductible would apply to this type of loss unless the jewelry was specifically insured and listed on the policy. 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..
Why Would I Want To Insure My Jewelry Separately on a Jewelry Insurance Policy?
Having a large jewelry loss, or several jewelry claims can affect the cost of your homeowners insurance or even a carrier’s willingness to provide you with insurance coverage. You might say, well nothing happened to my home, but since the jewelry is on the same policy as the home, at minimum the claim will cause your homeowner’s rate to increase. Don’t risk losing your home insurance because of a few misplaced pieces of jewelry. In general, the standalone jewelry policies have better insurance coverage and rates because the company is only dealing with jewelry, they know how to underwrite it and price the coverage, and most importantly handle a loss.
Why do I need Appraisals?
The cost of gold, metals and precious stones are generally increasing over time. If you have an item specifically insured for a specific dollar amount that is the most the insurance company would pay at the time of a loss. So, if you are using an old appraisal and the amount it is insured for is $5,000 less than the value to replace it at the time of the loss well then that is money you would have to pay. In addition, if you need to file a claim for lost, damaged or stolen jewelry then having the appraisal is necessary to determine the specifics about the item to determine its value.
Contact Huff Insurance today to discuss your jewelry and other precious treasures to be sure the best way to provide protection to these items. Call 410-647-1111 or fill out the jewelry insurance quote form on this page.