Home Valuation of jewellery and is it necessary annually?

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roxanne

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I have decided to move insurance company as my quote has drastically increased this year with my existing company. I had an item of jewellery insured with them. They asked for a valuation the first year and none since. The new company which I hope to use have asked for an up to date valuation on the jewellery as it is over their limit for unspecified all risk items. I can understand them wanting a new valuation which is going to cost me approx an extra 50euro (ontop of the extra cover) . My question being, is it going to be necessary to get this valuation each year as the girl I got the quote from used to work in the insurance claims section and said there can be problems with claims if the valuations are not up to do date (my valuation was just 3 years old). If this is the case a valuation each year is going to cost me the extra 50 before I even start getting insurance quotes???? Am I naive not realising this and are other people out there aware of this. Any thoughts or advice on this would be great.
 
An initial valuation will be required. (You wont need a new valuation each year.) Insurers will then usually index link this amount in line with inflation. This is not a perfect system as the cost of gold and gems does not always keep in line with general inflation. In addition, do take detailed photographs the item. These is of enormous assistance in the event that you ever have to make a claim for the item and require an updated valuation.
 
its one of the downsides of moving insurer. If you stayed with your previous lads, then they would not have sought a valuation.
 
Thanks guys. Claimsman would you advise that even if they index link the item should I always ask them to revert back to the valuation figure as this is probably a more realistic figure for replacement?
 
roxanne said:
Thanks guys. Claimsman would you advise that even if they index link the item should I always ask them to revert back to the valuation figure as this is probably a more realistic figure for replacement?
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The valuation that you have carried out today, may not be adequate to replace the item in 10 years time. It is for this reason that insurers index link the item rather than have you provide a new valuation each year. I would suggest that you obtain a valuation now and in the event that the item is particularly expensive or contains large unique gems ( as can be the case with antique jewellery) then maybe have that valuation updated every 3 to 4 years and increase/decrease the sum insured accordingly. That way, in the event that the item is lost or damaged and requires replacement, the sum insured should be there or thereabouts. If the item is not particularly expensive, then index linking should be sufficient.
 
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