Jewelry insurance is insurance which is designed to cover replacement costs for jewelry which is lost, stolen, or destroyed. Like other types of insurance, jewelry insurance comes in a number of different types, and the policy is often accompanied with a number of caveats. For people with valuable jewelry, obtaining personal jewelry insurance can be a very good idea, especially if the jewelry is frequently worn.
In order to obtain jewelry insurance, most companies require that the jewels be appraised. The appraisal process determines the value of the jewelry, and also provides a detailed description of the pieces which will be kept on file at the insurance agency. Some agencies have a list of jewelry appraisal partners they work with, and others accept appraisals from independent providers.
Once appraised, a policy can be written up. The policy usually covers the replacement cost of the item, with some companies providing cash settlements, while others insist that the payment be used for replacement. Most insurance policies exclude careless handling, poorly set stones, and acts of God from their insurance policies. Each piece of jewelry covered under the policy must be explicitly described, and if people wish to add pieces later, these pieces must be appraised first.
People should read jewelry insurance policies carefully to determine what is covered. Some, for example, will cover repair costs for damaged jewelry, while others do not. International travel may be covered in some instances, while in other cases, the insurance is only good in the nation of origin. There may be other restrictions as well, such as the requirement that the jewelry be kept in a safe or safe deposit box at the bank when it is not being worn.
Some people assume that renters and homeowner's insurance covers jewelry as well. In fact, jewelry is often excluded from such policies. Some companies offer riders which can be used to extend coverage to jewelry, while others do not offer any form of jewelry coverage. People who are not clear about whether or not their jewelry is covered should contact their insurance agencies. In the event that jewelry is not covered, the insurance agency may be able to provide a referral to a company which will insure jewelry.
Some companies offer gem insurance for loose gems, such as diamond insurance, while others only insure pieces of jewelry. It is possible to find bracelet, necklace, earring, and ring insurance, with engagement ring insurance being especially popular. Information about jewelry insurance services can be obtained from insurance companies and sellers of fine jewelry. As a general rule, insurance and appraisal services should be not be purchased from the company while sold the jewelry, but rather through an independent agency.