How to Insure Your Jewelry

May 20th, 2022

Insuring jewelry used to be a laborious and confusing process for most people.

That’s because if you wanted jewelry insurance, you had to add coverage under your homeowner’s insurance. That required a separate schedule from your insurance company if the value of the piece was over $1,000 or $2,000. Then you had to decide how much of a deductible you wanted to apply to your policy add-on rider to save money on the cost of the premium.

Unless your jeweler was able to give you an appraisal when you purchased it, you also had to wait to get the piece appraised and then deliver it to the insurance company. Only then could you get a confirmed price for your insurance coverage. The process could take days or even longer.

But you’re not done yet. Most insurance companies require you to get your jewelry items reappraised every few years to keep up with current values. Should you have to make a claim, they may also make you get a replacement diamond from the insurance company’s “preferred network” of suppliers rather than your local jeweler, often creating a poor experience.

If not adding to your homeowners policy, your local jeweler or an insurance broker can give you a recommendation for a specialized jewelry insurance company. These are insurance companies that specialize in, and only insure jewelry items. There are a few specialized jewelry insurers to choose and some can give you an initial insurance policy quote online.

Bottom Line: Adding jewelry through a homeowners policy is a cumbersome and broken process. Specialized jewelry insurance is a much needed and underutilized method of improving the experience and decreasing your cost.

home insurance policy papers

Jewelry and Watch Insurance in the Digital Age

Enter fine jewelry and watch insurance for the digital age. By leveraging technology, you can get specialized jewelry insurance coverage much more quickly and easily than ever before. Here’s how to insure jewelry by starting online.

Step 1 – Understand the benefits of specialized jewelry insurance.

Specialized jewelry insurance companies understand the jewelry industry. They cover the real risks from loss, theft, damage and “mysterious disappearance,” providing an equivalent replacement for a lost or stolen item should you make a claim. Most will also work with your local jeweler to make sure you get the quality replacement you deserve.

Licensed in all 50 states and DC, BriteCo offers A+ rated jewelry insurance that provides coverage up to 125% of an item’s appraised value with no deductibles. Claim replacements are handled through the jeweler of your choice.

Step 2 – Compare policy prices.

Most jewelry insurance policies cost from 1% to 3% of the appraised value of an individual item. It is important to compare costs since many insurers have not updated their pricing in decades to reflect gains in efficiencies with newer technology.

BriteCo has developed an innovative insurance pricing model that averages .5% to 1.5% of appraised value which can give you substantial savings. Go online to https://brite.co and click on the “Check Your Price” button. Put in the type of item you want to insure and its value based on an appraisal or the price you paid for it. Provide your name, an email address and your zip code. You get an instant customized quote for insurance in 60 seconds or less.

Step 3 – As a regulated industry, jewelry insurance companies have applications that typically require you to answer a few questions.

Once you receive a customized quote from BriteCo, for example, you proceed by answering a few more questions online to make sure you get all the discounts you’re entitled to, or to add an insured person at no extra cost. You then receive a final price and choose how you want to pay (monthly or with a discounted annual payment). That’s it. You can be insured in about two minutes.

Step 4 – Get your policy online and upload documents.

Jewelry insurers almost always require documentation of your item’s value in case you make a claim.

To confirm your policy terms with BriteCo you need to upload an appraisal, detailed sales receipt or a lab certificate for the insured item along with a current photo of the piece taken from your cell phone. You’ll get your policy via email, usually within 24 hours.

A diamond bracelet

Do’s for getting your jewelry insured

Do get an appraisal or a detailed sales receipt when purchasing fine jewelry or watches.

Do choose a policy from an insurance company that specializes in jewelry insurance.

Do make sure your jewelry policy covers loss, theft, damage, or what is known as “mysterious disappearance.”

Do look for a policy that has no deductibles to avoid any out-of-pocket costs. Make sure you can replace your jewelry item through the local jeweler of your choice should you have to make a claim.

Don’ts for getting your jewelry insured

Don’t assume your homeowners insurance or renters’ insurance policy has you covered. Too many people assume the personal possessions part of their homeowners policy covers their fine jewelry. These policies typically cap coverage for any piece of jewelry at $1,000 or $2,000, and even then are subject to substantial deductibles of $500 or more. Losing a $6,000 engagement ring means you would have to pay up to $4,000 out of your own pocket to replace it.

Don’t put off getting jewelry insurance because you think it’s too expensive. BriteCo insures jewelry for .5% to 1.5% of an item’s appraised value, much lower than the industry average.

Don’t mistake a jewelry warranty for an insurance policy. Warranties typically only cover defects in the quality and workmanship of an item. So a warranty doesn’t cover the most common mishaps that can happen with your jewelry, including loss, theft, damage, and mysterious disappearance. Also, some warranties may be voided if you fail to get your jewelry piece cleaned and checked periodically (i.e. every six months or so).

A recent survey conducted by BriteCo found that more than 40% of people did not get insurance for their engagement ring because they thought it was too expensive or didn’t know how to get it. Protecting your most valuable possessions in the digital age means you can now get affordable jewelry insurance coverage entirely online in only a few minutes. Check it out here.

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About the Author

Dustin Lemick is the Founder and CEO of BriteCo and a third-generation jeweler with over thirteen years of retail jewelry experience. He holds a Graduate Gemologist degree from the Gemological Institute of America (GIA) and has in-depth knowledge and expertise in appraisal systems, diamond and gemstone markets, retail pricing models, insurance replacement models, and jewelry quotation pricing systems.
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BriteCo Inc. is a licensed insurance agency in all fifty states and the District of Columbia.
Please see the Licenses section of this website for more information. All insurance policies underwritten and issued by Glencar Insurance Company and administered by BriteCo.