Home Insurance > Contents Insurance > Understanding Jewellery Insurance

Whether it’s through numerous birthday gifts or the times you’ve decided to ‘treat yourself’ for a job well done, you’ve probably amassed quite the jewellery collection over the years.  With the average woman said to have accumulated a collection worth £6,000 by the age of 40, with this amount said to increase by £2,000 each decade, it’s safe to say your prized necklaces are probably quite hard to replace.

With theft or accidental loss as the top reasons for claims on jewellery, the world of jewellery insurance can be a confusing place to navigate.  This is especially true when choosing between adding items to your existing contents insurance policy or taking out specific cover just for them.

If this conundrum sounds familiar, make sure you read more below for our guide on all things jewellery insurance.

What cover do you need for your jewellery?

When deciding on the best insurance option for you, it’s important to firstly look at the value of your collection.

Whilst most jewellery will be covered as standard by your existing contents insurance, this is usually only suggested for those with smaller value collections, with a worth under £1,000.  This is because, whilst a policy will cover all possession up to a given amount, known as a sum assure, it will almost certainly also contain a ‘single item limit’ on claims.  This limits the amount you can receive when claiming on just one of your possessions.

So, say you have a sum assured of £40,000 and a single item limit of £1,000.  If you wanted to make a claim on your necklace that was just stolen, you would only be allowed to claim up to £1,000 and not £40,000 due to it being a single item.  If your necklace had a value below the single item limit (i.e. less than £1,000) this coverage is fine.  However, if your necklace had a value of £2,000 you would only receive half its worth if you made a claim.  With a loss of 50% this isn’t exactly ideal when it comes to covering your jewellery.

To combat this most insurers will require you to declare higher value items, i.e. a possession with a worth greater than your policies single item limit.  These are then added to your policy as ‘specific items’, meaning they are insured up to their full value and guaranteed proper coverage.  Whilst declaring these specific items will increase the cost of your policy, it does ensure that you won’t be left short-changed by the single item limit when claiming.

However, for some, this increased cost deters them from insuring their jewellery through their contents insurance, instead of taking out single item insurance in a separate policy. With so many options available it’s important to take your time finding the right cover for you, one which offers the proper protection for your jewellery.

Alternatively, if you’re looking for a more personal, accurate insurance quote, one which is based on the possessions you actually own and not just estimates, you should check out buzzvault. With an adjustable inventory that unique to you, you can receive a quote in just 2 minutes with our easy-to-use app. Meaning you receive the cover you actually need.

What about your jewellery when you’re out of home?

Ordinarily, contents insurance policies only cover your items when they’re inside your property, which doesn’t sound so great considering you’ll be wearing your jewellery most of the time.

Whilst some policies do include ‘out of home’ as part of their cover, its important to check your policy and see if this is included, as well as whether it meets your needs in terms of coverage.  You should also take note of whether the policy offers coverage for your items if you take them abroad, and whether a claim would affect your no-claims bonus.

More commonly, insurers will ask you to request ‘away from home’ coverage for specific items you own, such as jewellery, which will then be seen as add-ons to your policy.  This covers them in events such as accidental loss or damage but may not apply if possessions are left unattended or in unlocked vehicles.  Because of this, it’s important to always check the terms and conditions of your policy and see exactly what eventualities they cover.

Hopefully, this guide has eased your confusion when it comes to insuring your jewellery. If you want to find out more about the specifics of contents insurance check out its blog post, where you can read up on the different options and policy types for you.

Finally, if you like the sound of hyper-personalised home and contents insurance, head over to buzzvault to get your unique quote today.