Your long-lost loved one seems to have thought kindly of you. He or she left behind a large amount of valuable jewelry. You love and cherish the pieces. They are worth a lot to you personally. They also have a financial worth. It is important to have protection on them.
Your home insurance policy may help. However, it does have limits. It may be necessary, then, to extend your coverage to minimize risks to you should a loss occur. How do you insure these valuable items?
Determine The Worth First
One of the first steps is to get an appraisal of the pieces. Work with a licensed and trusted appraiser. They should have a knowledge of the specific types of jewelry you own.
Upon appraisal, obtain a formal letter that shows the value of each piece. You need specifics here to ensure proper insurance coverage. Most appraisers provide values for insurance purposes. Once you know the value of each piece, turn to your insurance policy next.
How Much Coverage Do You Already Have?
Most home insurance policies provide coverage for items you own. If you lose these items — or someone steals them — the policy can pay you up to the item’s value up to the limits of your policy. Most home insurance policies offer coverage at a total loss as well as individual item loss.
For example, if the jewelry suffers damage due to a whole-home fire, the insurer pays out up to a certain amount for all property lost. This can range from 20 to 50 percent of the home insurance coverage you have for the dwelling. It includes all the belongings lost.
On the other hand, if you need to file a claim for the individual piece, there may also be a per-item limit. For example, let’s say this limit is $1,000 per item. Anything over this amount in value may not have full coverage through a policy. You might need to buy an endorsement or add-on policy for your high-valued items at this time.
Your Mike Dyer Agency agent may wish to see the appraisal to see what the value of the jewelry is. Then, they can create additional coverage to protect your pieces.
Adding this coverage to your home insurance policy does not take long. It can provide you with protection for those items worth above and beyond what your basic coverage may offer.
Keep your jewelry secure. Put these items in a safe. Most importantly, be sure to update your coverage for them if their value grows.