What if someone steals your treasured diamond earrings, or you lose your engagement ring? Does my homeowner's cover my jewelry? What Exactly Is Scheduled Personal Property?
For these items you may want consider adding the Scheduled Personal Property Endorsement to your policy. Sometimes referred to as a rider or jewelry insurance, Scheduled Personal Property is an optional endorsement that provides greater protection for certain high-value items. Items covered by this endorsement will be valued at replacement cost in the event of a loss, with no deductible. Without it, your loss is subject to the standard limits of your property policy and a deductible applies.A Scheduled Personal Property Endorsement also enhances coverage for accidental loss. "You need to walk through those personal valuables with your insurance agent that you feel carry a particularly high value," says Joe Convertino, Jr., President of CH Insurance.
Here's an example: Say your homeowners insurance policy has a coverage limit of $50,000 for personal property coverage. Jewelry insurance is pretty affordable. Usually it costs 1 to 2 percent of the total value of your jewelry. If you had a $10,000 engagement ring, it would cost $100 to $200 a year to insure it. The peace of mind you'd get by having insurance makes the low cost well worth it.
What about a high-end watch?
It's up to you whether you want to insure one high-value watch, or if it makes sense to ensure the whole collection. You can also buy general insurance which covers all of your jewelry. Watch insurance costs around $1 for every $100 you insure. So for a $3000 watch expect to pay $30 per year as an example. There is no blanket answer to whether or not watches are covered by jewelry insurance because there is no single type of jewelry insurance. These policies, like the general jewelry insurance policies, protect you against loss, theft, or damage.
Is there a deductible?
A deductible is the amount of money you have to pay out-of-pocket when you file a claim for jewelry damage, theft or loss. Like most insurances, there's typically a deductible yes. After the deductible is met, your insurance company pays their portion to cover the cost for your jeweler to repair or replace your jewelry with the same kind and quality as the original.
What's a personal articles policy?
With a personal articles policy, if you had each piece of jewelry that was stolen listed on the policy, you'd be covered for the entire $10,000 without a deductible. Similarly, you can also “blanket” these items on a personal articles policy.
If something is of great value, ask the question. An ounce of prevention is worth a pound of cure. For all your personal insurance questions, reach out to us at CH Insurance. We're in your corner!