Nov 132015
 

insuranceIn this article Auckland Valuer Paul Nilsson questions whether jewellery valuers have kept up with changes to domestic insurance policy wordings as they apply to jewellery.

Most Valuers would agree that when they write an insurance valuation on a piece of jewellery for a consumer their primary objective is to protect the owner.
Here are two scenarios where that objective may not have been met.
Consumer A had an estate diamond brooch professionally valued at $6000 and listed separately on their insurance policy for that amount. A year later they lost it and discovered it would cost $12,000 for the new replacement their policy entitled them to. However the insurance contract meant that the settlement was limited to the specified amount of $6000. Their Valuer had unfortunately only valued the brooch at its second-hand value.
Consumer B inherited their mothers’ engagement ring and had it valued for $2,000 and listed on their policy. When they made a claim 5 years later they discovered their policy only entitled them to a $400 pay out. The Valuer had valued it for replacement with a new one but their policy was for market value (indemnity value) not replacement.
More about these two scenarios later. Continue reading »

Dec 162010
 

Probably the most frequently occurring questions I am asked are those relating to the insurance of jewellery and why good valuation documentation is so important.

So here is some advice for you that I hope will help to ensure full protection of your most precious items.

Note – some of the amounts, definitions and terms relate to the New Zealand insurance environment and may not apply in other countries.

The Insurance Valuation

The most fundamental of all questions posed by clients are the ones asking why they should have their jewellery documented and valued in the first place. Continue reading »