Insurance - Page 2

"To properly insure jewelry and other expensive items, consider purchasing additional coverage through a floater or an endorsement," says Christine Potts, an Allstate Exclusive Agent located in Mansfield.

In most cases, you would also be covered for "mysterious disappearance." This means that if your ring falls off your finger or is lost, you would be financially protected. With floaters and endorsements there are no deductibles and frequently you will get the option of having the insurance company replace the item for you, according to Potts.

 

Floaters and endorsements are available as additions to homeowners and renters insurance policies. Some companies also offer a stand-alone policy to cover jewelry without having to purchase home or renters policies.

"While there is no way to insure the sentimental value of jewelry, having it properly insured will provide financial protection in the event of a loss," says Potts. "Allstate has jewelry policy options for homeowners and renters."

 

To make sure your jewelry is adequately protected, Allstate and the Insurance Information Institute suggest:

Let your agent or company representative know that you are now in possession of an expensive piece of jewelry. Find out how much coverage you have and if additional insurance is needed.

 

Have the item appraised
Heirlooms and items that were purchased several years ago will need to be appraised for their dollar value. Ask your insurer for recommendations regarding a reputable appraiser. It is important that expensive items are appraised properly. If you purchase a floater or endorsement, you will pay a premium based on the appraised value and in the event of a claim, be compensated for this dollar amount

 

Keep a copy of the store receipt
You will need to forward a copy of the receipt to your insurer so that the company knows the current retail value of the item. Keep a copy for yourself and include it with your home inventory

 

Store valuables in a secure location
Protect your jewelry by storing it in a secure location in your home. If you don’t plan to wear the item regularly or are holding it for a child, consider keeping it in a safe deposit box. You may save money on the cost of insuring it, as some policies include "in vault" coverage. If you want to wear the jewelry for a special occasion, many insurers will offer the option of purchasing additional coverage for the time it is out of the bank. You would, of course, have to notify your insurer ahead of time

 

Update the value of your jewelry
Expensive items can go up or go down in value. Talk to your insurance professional about how to make sure the dollar amount of your floater or endorsement reflects these changes. Prices for floaters and endorsements will vary

 

Take a picture of the item or collection
Get into the habit of keeping a visual record of all of your personal possessions. This helps to document your loss and speed up the claims process. It is also useful to document antique and unusual pieces of jewelry

 

Add the item to your home inventory
Everyone should have an up-to-date inventory of their personal possessions. This can help purchase the correct amount of insurance and speed up the claims process when there is a loss. To make creating a home inventory fun and simple, the Insurance Information Institute created  free, downloadable software. You can add a digital photograph of your new gift and save scanned receipts. Computerizing your inventory also makes updating it faster and easier