When Gail came home to her house one afternoon last winter, the door was wide open. The house was a mess and she tore into the bedroom, expecting the worst. Her jewelry box was gone, and with it, a collection of jewelry she'd spent decades acquiring. But each rain cloud comes with its own (sparkling) silver lining.
Gail's insurance policy covered her losses. And if her husband asks why her new engagement ring is a teensy bit bigger than the old one, what can she say? She deserved it. Now if only she could figure out how to use her new alarm system.
Losing a precious jewelry collection is always a huge blow, and with Valentine's Day now over, it only seems fitting to revisit the basics of insuring your bling.
Our Wedgwood Personal Account Manager Donna Hayward, who loves finding a solution for an upset or stressed out client, answers the most asked questions about insuring jewelry.
Most Asked Questions About Insuring Your Bling
Is my jewelry fully covered under my Home Insurance policy?
Jewelry does fall under the contents coverage that's typically part of the standard policies. However, Home, Condo, and Tenant Insurance have a certain limit for jewelry. That limit can be a maximum of $6,000 and is subject to your outlined coverage, policy exclusions and deductibles. Meaning that sparkly new ring or necklace you got for Valentine's Day may not be adequately covered. That's why it is important to know the value of the jewelry and contact us to discuss your current coverage.
If you find that your bling isn't fully protected, maybe it's time to consider adding a floater to your policy. A floater is basically an add-on to your existing policy that broadens your coverage and typically eliminates your deductible. It's definitely the best way of protecting your jewelry, as it covers your jewelry if you misplaced it or even if a stone falls out of the setting.
If my jewelry is lost or stolen while on vacation, is it covered?
Home, Condo, or Tenant policies covers all of your personal property when you go on vacation, including jewelry. Again, there is a sub limit for jewelry if you only have homeowners coverage. If you want peace of mind, it's best to add a floater as it covers perils which may not be protected by your existing policy.
Is broken jewelry covered?
We get asked this a fair bit and, damages to your jewelry is not covered under a standard policy. However, adding the floater can cover damage done to your jewelry. Whether you broke the glass face on your watch, or chipped the stone of your ring, the floater has you covered.
All that glitters... is tempting
When someone steals jewelry, they will often toss anything that's too easily identifiable. Your great aunt's gold hair comb shaped like a bunch of lilies? They may steal it but it's unlikely they'll try to sell it, because it's too easy to trace. A diamond engagement ring is more likely to make it to the pawn shop.
When was the last time you had your jewelry appraised? To protect your most treasured items, here's Pat Thompson from Diamond Design, the only appraiser in the province with a gemologist on staff (...and a loyal Wedgwood Insurance client!)
"Diamonds, gold and silver are priced in American dollars and we've seen a 40 percent increase in the last 12 to 18 months, so you should really think about getting an appraisal if you haven't had one in a few years because you could be grossly under insured. Also, considering talking to your insurance company about getting your jewelry scheduled, since your homeowner's insurance doesn't cover some losses."
Pat says he'll be holding an appraisal clinic soon, which will allow you to bring in all sorts of purchased or inherited jewelry, for advice on which pieces are most valuable and which should be insured or scheduled.
Shine on, you crazy diamond
When someone goes through your personal belongings, it can feel like a gross invasion of privacy, and not everyone has a secret locked room for their Crown Jewels.
Get in touch with us to find out more about how to keep your bling protected.
Until next time!
Donna Hayward, and the Wedgwood Team