How to Appraise Jewelry for Insurance Purposes

While homeowners insurance includes coverage for your personal property, it is often limited and expensive items, such as jewelry, may have coverage caps or may not be covered at all under a basic policy. However, you can purchase a rider to your policy to expand the coverage out to your precious jewelry collection.

When you contact your agent about a rider, you will often be required to appraise your jewelry for accurate coverage and premium calculations. Each piece will need an individual appraisal with a written documentation of its worth. This documentation must be drafted by a professional gemologist.

Take care when hiring an appraiser. To ensure the most accurate appraisal, you should hire a gemologist who is accredited by a nationally recognized organization, such as the American Society of Appraisers or the Gemological Institute of America. Along with professional capability, trustworthiness is also a factor that must be considered. Ask friends and family for recommendations and read customer reviews on websites such as Yelp and the Yellow Pages. The few minutes it takes you to do some research is well worth it for a quality appraisal.

When you select an appraiser, offer him or her any documentation you have on your jewelry, such as receipts or previous (but outdated) appraisals. This creates a good foundation for the appraiser to begin identifying and grading diamonds and precious stones, which may save you money if he or she charges hourly.

Bear in mind, the price of gold and silver continuously changes. To maintain the right amount of coverage, your insurance provider may ask that you get regular appraisals, which are your responsibility to pay for. However, that also means that your deceased mother’s diamond necklace may very well be worth more now than it was back when she owned it.

Protect your house and everything inside that makes it a home. Call 1st American Insurance Agency for more information on home insurance.