When it comes to insurance policies, you may already be aware that if you own jewellery above a certain value, it may not be covered under your standard Home/Contents policy & requires separate insurance.
But did you know that depending on your policy, you may not necessarily get to choose who actually replaces your jewellery?
While this is not an issue when it comes to mass produced jewellery because many stores carry the same brands, it could be problematic if your jewellery was custom designed & made by an independant jeweller with a signature style.
Generally speaking when an insurance claim is made, the Insurance company will decide who does the work.
When it comes to jewellery, the Insurance Companys’ decision may be based on their affiliate relationships with certain jewellers who are specifically contracted to do jewellery insurance work.
Due to ever increasing competition within the Jewellery Industry & with Insurance Brokers looking to minimise their own costs, it seems some Jewellery Contractors are prepared to accept lower margins & quote lower replacement costs in order to keep acquiring Insurance work.
I was unaware of this issue until it was raised in a jewellers group I belong to.
Turned out this actually had happened to a couple of their customers.
While in most cases, when the policy holder appealed the decision it was reversed & they were able to have the original jeweller replace the piece, it made me think if you are in the unfortunate position of making an insurance claim for valuable lost or stolen custom made jewellery, wouldn’t you already be feeling a sense of loss?
Surely the last thing you would want is it have to undergo an appeals’ process?
So what can we learn from this?
- If you have valuable jewellery, make sure it is separately insured if required.
- Read the terms of your Insurance policy before you agree to undertake it.
- It might also pay to make sure that the designer of your custom made jewellery undertakes Insurance work – just in case!
Have you had any issues with a Jewellery insurance claim?
Share your experience below.