An insurance claim for lost, stolen or damaged jewellery is often the most sensitive claim that a broker will handle. This is because of family inheritance or sentiment associated with the jewellery item.
Fortunately we can offer the NZbrokers Contents policies which can provide a generous limit for each item of jewellery, $5,000 plus GST, and replacement cover so the item can be replaced with a similar quality new purchased, manufactured or handmade item when the limit is adequate.
Your insurance broker will consider two issues when discussing insurance cover for your jewellery:
1.Has the jewellery been correctly valued?
Because the NZbrokers Contents policies provide replacement cover it is essential that the valuation accurately reflects the replacement value and your broker will ask that you confirm this with your jewellery valuer.
The valuation amount should be sufficient to replace the jewellery with a similar quality new item being purchased, manufactured or handmade.
Sometimes a problem arises when the valuer has no knowledge about your particular insurance coverage. In a worst case scenario the valuer may provide you with a valuation based on market, antique or estate value (the amount you might receive when selling the item) even though your insurance cover is based on the higher amount of replacement value.
2.What additional advice is required?
Your broker will recommend that you keep the valuation up to date at least every three years or whenever there is a significant fluctuation in the value of gold or precious stones.
The key to a good valuation is often in the quality of the jewellery description recorded on the valuation document. It must be accurate, complete and supported by photographs.
Insurance buyers should be wary of lower cost insurance products where jewellery, whether specified or not, has restricted cover. Here are some examples from policies that your broker will not recommend:
i.Where cover is restricted to market value for “items purchased or obtained second hand”, such as inherited jewellery;
ii.Where the jewellery limits are as low as $1,000 for each item or $10,000 per event;
iii.Where jewellery cover does not apply away from the home address.
We are ideally placed to help you arrange suitable cover for your household contents and particularly your jewellery. Please contact us for advice, we are local people with local knowledge, national strength and global capabilities.