“I feel sick. I lost my ring in the lake while boating. But my homeowners insurance covers jewelry, so I'll just give them a call."
(Record Scratch) Hold the phone…Your homeowners policy will likely not cover accidental jewelry loss.
Finding out your homeowners or renters insurance falls short after you’ve already lost your ring leaves you wondering what to do next. Do you pay for a replacement out of your own pocket? Or go without a ring?
Hello, Rock. Meet my friend, Hard place.
So how do you know which insurance option won't leave you empty-handed when the unexpected happens? Read on to understand what situations are covered under homeowners insurance and specialized jewelry insurance and for how much.
Does Homeowners Insurance Cover Jewelry?
Yes...to an extent.
Most homeowners insurance policies do cover jewelry to some extent. In many cases, however, your coverage is limited by:
- Limitations or exclusions on situations covered
- Requirements to use jewelry replacement companies
- Needing several estimates before settling a claim
- Coverage value limits (leaving the rest up to you)
Plus, a jewelry claim could affect the status of your entire policy.
That’s why it’s important to evaluate your insurance options. Call your homeowners or renters insurance and ask for the details of your jewelry coverage. Never just assume you’re covered.
Does Homeowners Insurance Cover Lost Jewelry?
Not typically.
A standard homeowners policy will NOT cover your jewelry if they disappear out of the blue or even if you drop them down the drain. You would need to add a rider to your policy to cover “mysterious disappearance.”
Does Homeowners Insurance Cover Jewelry Theft?
Yes…with Sublimits.
For stolen jewelry a homeowners insurance policy will have special limits of liability, AKA sublimits for both per-item, and blanket coverage.
- Per-item jewelry sublimit: If your per-item sublimit in your plan is set at $1,000, then that is the most you’ll be reimbursed for one single piece of jewelry.
- Blanket jewelry sublimit: If your blanket sublimit is set at $1,500, then that is the most you’ll be reimbursed for all jewelry stolen.
Of course, reimbursement is contingent on if you have paid your deductible.
Does Homeowners Insurance Cover Damaged Jewelry?
Not always.
If your jewelry was damaged in an event such as a fire or windstorm, but only up to your policy limits. You may be able to get extra coverage for accidental damage through a scheduled personal property endorsement, but even that is not a guarantee.
So then what? How can I feel secure and covered with my fine jewelry?
Easy…Specialized Jewelry Insurance covers lost, damaged, and stolen jewelry.
Insurance coverage specifically built to protect jewelry is much more likely to comprehensively protect against the common perils associated with jewelry loss.
While we can't speak for all specialized jewelry insurance products, here's how Jewelers Mutual Group's coverage compares to a standard homeowners or renters policy, and even a typical rider as part of such a policy.
Jewelry Insurance vs. Homeowners vs. Jewelry Rider on Homeowners Insurance
Coverage
Typical Homeowners
Typical Riders
Loss
Theft
Damage
Not always covered
Not always covered
Disappearance
Flood or Earthquake
Not always covered
Not always covered
Worldwide Travel
Not always covered
Normal Wear and Tear Repairs
Not always covered
Not always covered
Out-of-Pocket Cost
$0 deductible option
Homeowners deductible applies
May have deductible
If you have a homeowners insurance policy for your jewelry - Research, research, research, ask a million questions, and make sure you’re covered (for real) before something happens. Wondering if your jewelry is worth insuring? Ask yourself:
If my new jewelry went missing today, would I be…
- Devastated about the sentimental loss?
- Afraid to wear my other jewelry for fear of losing it? · Unable to cover the cost to replace the piece?
- Subjected to coverage limits with my current insurance?
- Forced to work with a jewelry replacement company and not my preferred jeweler?
- Worried about having to settle for a replacement of lesser quality than the original?
If you answered “yes” to one or more of these questions, consider specialized jewelry insurance. When it comes to your jewelry, you want to wear it, not worry about it. Check your rate by clicking the button below.
