Page 12 - AIJV Padraic sample

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N
OTES RELATING TO
I
NSURANCE MATTERS
3)
a)
The following abbreviations are used to explain the basis of valuation used in schedules for insurance replacement:
NRV New Replacement Value.
This value reflects the modal current new replacement cost of a similar article of equivalent quality. It does not,
however, allow for recreating a handmade facsimile of the original
nor does it take the condition of the piece into consideration.
Most modern items
will normally be expected to be described under this heading. The value does not reflect the likely replacement cost from any specific seller.
NRV New Replacement Value at Internet/Shopping Channel Market Level
. The value reflects the likely modal replacement cost of an item
of equal merit from an internet retailer or shopping channel retailer. It is common for items sold by this type of outlet to be of a construction, quality
and/or material content that cannot be readily found in a normal retail jeweller. An item that has been valued at this market level will have been
purchased from the internet or shopping channel and will have the construction, quality and/or material content that makes this market level the most
appropriate route for replacement. The value does not reflect the likely replacement cost from any specific seller.
SHRV Second-hand Replacement Value
. This value reflects the current second-hand replacement cost of a similar article of equivalent quality
and in like condition.
FV Facsimile Value.
This value reflects the likely current replacement costs of creating a facsimile of the original utilising the same quality
materials and processes. It should be noted that this is a type of valuation rarely used and only in specific instances (for further explanation please
discuss with the valuer). The vast majority of modern jewellery will, even if handmade, be adequately covered by the standard new replacement
qualification.
b)
Partial loss/damage. Irrespective of the type of value ascribed to an article, it should be noted that the value makes no pro rata allowance for the
current cost of individual component parts in the event of a partial loss, nor does it take into account the cost of restoring or recreating the article in
question in the event of major accidental damage. It is accepted by insurers that the costs of selecting replacement gems and repair work to settings
etc. generally cannot be directly related to the sum value of an article in its entirety.
c)
All values given represent average approximate retail replacement prices within the various categories specified - i.e. NRV, SHRV, NRV at Internet /
Shopping Channel Market Level and FV. These values do not necessarily reflect the price at which the valued item(s) may be purchased from any
particular retailer but attempt to reflect an average of a broad range of current prices of such items available from retailers offering similar goods in
the
most appropriate
market.
d)
All values given for articles of foreign manufacture represent approximate retail replacement prices (as defined above) which attempt to reflect an
average of a broad range of current prices of such articles available from retailers offering goods of comparable quality to consumers in the Ireland.
e)
Obsolete watches: the stated value for any obsolete watch given a NRV figure represents the current new replacement price for the nearest model of
equivalent quality, which may, or may not, be of the same brand. Watches valued for second-hand replacement (SHRV) are generally (but not
necessarily) likely to pre-date 1970, and will be so valued because they are of a brand/style/type no longer available, or will be in a condition that
reflects the age and wear provided by the passing years. Insurers normally accept the distinctions, and will normally take the stance that replacement
will be on the basis of ‘equivalence’ rather than ‘betterment’, and it is this principle that guides the valuer in the valuation method applied.
f)
References to condition are as follows (this only affects values ascribed as SHRV): -
EXCELLENT -
The article is in “as new” condition.
VERY GOOD -
The article is in exceptional condition in relation to its age and does not display any obvious evidence of repairs and/or alterations
or restoration.
GOOD -
The article is in better than average condition in relation to its age and may display evidence of discreet repairs and/or sympathetic
restorations.
FAIR -
The article is in less than average condition in relation to its age and may either show obvious repairs and/or restorations or be in need of
repair.
POOR -
The article is in a dilapidated condition and may have missing or broken components, and/or show obvious evidence of poor quality repairs.
At worst, therefore, some articles may only be valued for scrap.
M
ISCELLANEOUS
M
ATTERS
4)
a)
Your statutory rights are in no way affected by any of these Notes to the Schedule.
b)
This Appraisal and Valuation report can only be considered an original if the Valuation Schedule is signed by the Appraiser in ink.