Everything You Need to Know About Jewelry Insurance

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Contributor, Benzinga
August 29, 2022

How Does Jewelry Insurance Work?

A policy for jewelry insurance should include coverage for replacing your jewelry in the event of damage, loss, theft or what is known as "mysterious disappearance." To purchase a jewelry policy, you will be required to give a few details about the piece as well as have a certified jewelry appraisal. You can learn more about how jewelry coverage operates by reading this in-depth explanation.

Is Jewelry Insurance Worth it?

Yes. When it comes to protecting the most valuable possessions you own, jewelry coverage is surprisingly affordable and offers complete and total protection. Check for monthly pricing as low as $5.

How Much Does Jewelry Insurance Cost?

Depending on the value of your jewelry, you can expect the cost of jewelry insurance to range from 0.5 percent to 1.5 percent of the item's appraised value each year. An engagement ring that costs $10,000, for example, would cost you between $4 and $12 every month. Learn more details about the costs of jewelry coverage here.

Do I Need an Appraisal to Apply for Jewelry Insurance?

Yes, you’ll need an appraisal when applying for a jewelry policy. To obtain an accurate valuation of a jewelry item, you will need to have the engagement ring or other fine jewelry appraised first. You can get a better understanding of the reasons behind jewelry appraisals as well as the benefits they offer here.

Do I Need Jewelry Insurance?

A valuable piece of jewelry should be covered by insurance because of the costly expense to replace or repair it. Read this guide to choosing the right policy to make certain that you have the top-notch coverage that best fits your needs.

Will Insurance Cover Lost Jewelry?

A policy for jewelry should provide coverage in the event that an item is lost, stolen or mysteriously disappears. Unsurprisingly, "mysterious disappearance" is the most typical type of loss. Check out this post that provides a detailed explanation of the jewelry insurance process to acquire a greater understanding of how jewelry coverage functions.

How Do I Ship Jewelry and Have it Insured?

The United States Postal Service (USPS) provides options for insuring mail, which provides protection against loss or damage to jewelry valued at up to $5,000 while it is being shipped. As long as your jewelry is shipped under receipt, it will be covered by a jewelry policy that is bought separately. Learn more about insurance that covers jewelry as a standalone item here.

Is a Watch Considered Jewelry for Insurance?

Watches are typically categorized as jewelry. Insurance companies that specialize in jewelry will usually offer protection for timepieces. Watches are considered personal objects and are usually covered by homeowners insurance. However, there are often coverage restrictions, limits and deductibles associated with a typical homeowners’ insurance policy.

What is a Deductible for Jewelry Insurance?

A deductible is the amount of money that must come out of your own wallet before an insurance company will pay its share of the bill. The standard jewelry insurance policy that BriteCo provides has no deductible, so you won't ever have to worry about the cost of replacing your lost or stolen piece. Get a quote right now for jewelry insurance with no deductible.

Is it Worth it to Insure an Engagement Ring?

Yes, especially if you are unable to replace it if it is lost, stolen or damaged. The cost of engagement ring insurance should be between 50 cents to $1.50 for every $100 in ring value, making it an affordable investment to receive protection in most cases. Check how affordable it is for your ring.

Will Insurance Cover a Lost Ring?

Quality insurance should cover the loss of wedding rings, engagement rings and other jewelry for the most common form of a claim, mysterious disappearance. In general, specialty jewelry insurance is your best bet for coverage of your ring. Beware of homeowners insurance policies that have low coverage limits or a high deductible.

Does the Value of My Ring Change Over Time?

Yes! It is possible that the price of your ring will change over time as a result of fluctuations in the cost of the metal or the diamonds it contains. Historical evidence suggests that the value of your ring will most likely increase over time. BriteCo automatically updates the value once per year to make sure that you are always covered for the full worth of your ring and that you are insured for up to 125% of the value of your appraisal. Check out its insurance coverage page to view complete details.

How Do You File an Insurance Claim for Lost Jewelry?

Insurance from a company like BriteCo will replace lost or stolen jewelry. Customers can follow on-screen instructions after clicking on this link. Most claims take fewer than five minutes to make online. The company follows up immediately so that you have a replacement as soon as possible.

How Long Will it Take for a Claim to Be Settled?

The process of filing a claim only takes a few minutes of your time. BriteCo will get back to you as quickly as possible to start the process of obtaining your repair or replacement. The total amount of time will vary depending on the circumstances of your situation.

What Jewelry Does a Homeowners Insurance Policy Typically Cover?

The majority of homeowners insurance plans provide coverage for jewelry loss or theft as personal possessions; however, the value of this coverage is often restricted to between $1,000 and $2,000. In most cases, it will not cover your significant other, requires you to pay a deductible, increases the subsequent cost of your policy if you submit a claim and doesn’t offer you the option to decide how your item will be replaced. Find out more about the coverage provided by your homeowners insurance, as well as the reasons why jewelry-specific coverage could be a better choice for you.

Is Lost or Stolen Jewelry Covered by Homeowners Insurance?

A significant number of conventional insurance plans include coverage for jewelry as a personal item in the event that it is stolen. Additionally, the majority of homeowners insurance policies contain claim limitations, which could mean that more expensive things aren't always covered. Check with your insurance provider or you consider purchasing stand-alone coverage instead. Learn more about the differences between homeowners coverage and a stand-alone jewelry policy.

How Do You Insure an Engagement Ring Without Homeowners Insurance?

You can insure your engagement ring with a separate policy through an independent specialty jewelry insurance company. Specialty jewelry insurance should offer better coverage with no deductible compared to most homeowners or renters insurance policies. To learn about insuring your jewelry with a specialty policy versus as an add-on for homeowners, read this evaluation.

What is the Difference Between Homeowners Insurance and Specialty Jewelry Coverage?

When seeking to buy a jewelry policy, you can add a jewelry item to your homeowners policy through a floater a supplemental policy purchased along with homeowners or renters insurance (also called an insurance rider). People use a homeowners rider for more expensive jewelry items since most basic homeowners insurance coverage will limit the amount of coverage (under $1,000 to $2,000) and will cover limited perils such as theft. Adding a floater will extend limits to your whole collection and add covered perils specific to your jewelry.

A specialty jewelry policy offers alternative coverage that is specifically designed for jewelry items such as engagement rings, necklaces and high-value watches. There are several advantages to specialty jewelry insurance including worldwide coverage for loss, theft, damage and mysterious disappearance. Certain specialty providers such as BriteCo offer enhanced coverage up to 125% of replacement value and no deductibles on its standard policies. It’s also affordable, averaging 0.5% to 1.5% of the appraised value of a jewelry item in annual cost. You could pay as little as $5 a month for an $8,000 engagement ring. 

Why Choose BriteCo Jewelry Insurance?

BriteCo Jewelry Insurance offers you coverage with low-cost premiums for insuring wedding rings, engagement rings and other fine jewelry. Backed by an AM Best A+ rated insurer, BriteCo has coverage for the full value of your ring in the event of loss, theft, damage or disappearance.  When making a claim, you avoid out-of-pocket costs with its zero deductible policies while assuring you get up to 125% of appraisal value in a replacement ring. There’s no need to add a personal jewelry insurance rider to your homeowner's policy to protect your valuables when you can get specialty jewelry insurance coverage from BriteCo that’s fast, easy and affordable. Get a quote at https://brite.co.

About Dustin Lemick

Dustin is the founder and CEO of BriteCo, an innovative insurance technology company that is transforming the retail jewelry appraisal and insurance experience for the digital age. Dustin is a third-generation jeweler with deep industry knowledge of the retail jewelry environment and the needs of jewelry buyers. Prior to founding BriteCo, Dustin was the president of his family’s jewelry business, Cy Fredrics Jewelers, a luxury jewelry and watch company in the north suburbs of Chicago.