Have you let your insurance lapse?
I posted this original blog after the great financial crash in 2008, but today with the pound at record lows is never been a more important to act
When was the last time you checked the value of your jewellery? Could you be under-assured?
A piece of precious jewellery set with or without diamonds and gemstones is probably one of the most expensive things you own and wear daily.
Even though insuring your new jewellery through your home insurance or a specialist company like TH March is relatively simple, many fail to take this cover out at the point of sale or neglect to revalue an existing piece they already own.
The current estimations are that there are around six million UK households underinsured for their jewellery alone.
Price fluctuations of diamonds, gemstones and precious metals are a regular occurrence. This fall in the pound’s value has been further exacerbated here in the UK since the referendum results in 2016. Was has brought about a decline of 20% in the pound value against the dollar. And the pound has fallen over 15% in this 2022 calendar year.
The dollar influence
You might not be aware that jewellery commodities such as precious metals, diamonds, and gemstones are all bought in dollars. So the pound’s drop in value has dramatically impacted the value of your jewellery.
What happens if you are underinsured?
I can’t stress enough how important all of your jewellery is insured for its up-to-date value. If you fail to do this, subsequently need to make a claim, and are underinsured, you will not be entitled to the total amount of your loss.
Your settlement for a claim on an underinsured jewellery piece will reduce in line with the actual sum insured, and you will have to cover the remaining cost of the loss or damage yourself.
If I can offer you some friendly advice please do not think that it can never happen to you. Whether it be a loss or theft, get your jewellery valued today. It will cost a lot less than any potential loss; you can even get it scanned as a 3D image, so if the worst ever did happen, your jewellery can be replaced to match the original piece.
Time to act is now
If you had your jewellery made by me, call me today to arrange to have a new appraisal or visit The National Association of Jewellers website to search for an approved valuer in your error.