If you happen to get something shiny and new under the tree this Christmas, be sure to discuss your jewelry coverage with your insurance agent. It is common that a homeowners insurance policy carries a specified limit of coverage for theft of jewelry, watches and furs. See the following examples for further explanation:
Example #1:
- Your homeowner’s insurance carriers a limit of $1000 for jewelry under your policy and your policy has a $1000 deductible.
- You have a $1200 ring that gets stolen :(
- Your deductible applies first (the portion you are responsible for paying before insurance pays out). Therefore, you pay $1000 and you will have $200 coverage under your policy. Actual Cash Value will normally apply since not scheduled.
- Actual Cash Value is the cost to replace with new property of similar quality and features and depreciation will apply.
Example #2:
- You schedule your $1200 ring onto your homeowners insurance policy!
- To schedule your jewelry: contact your insurance agent with the details on your piece(s) of jewelry along with the value (receipts and/or appraisals may be required). Your agent will list the item(s) on your policy for a minimal cost and can add a $0 deductible and Agreed Value to these specified items.
- Agreed value – an insurance carrier will agree to pay the amount listed on that particular item (no deprecation applies) if unable to replace.
- You have a $1200 ring that gets stolen (after scheduling to policy prior) :(
- You file and claim and you receive a claim payment of $1200 for the ring without any deductible applying (if $0 deductible was chosen).
We highly suggest scheduling any jewelry, watches or furs to ensure proper coverage under your homeowners insurance policy. The above are examples only and each carriers homeowners policy can differ on coverage provided.
You can experience the benefits of being a part of a full service Independent Insurance Agency today! Simply contact Briggs Agency, Inc. if you are interested in an Insurance review at 219-769-4840 or visit our website at www.BriggsAgency.com. We look forward to hearing from you!
Also Read: Dwelling Insurance Policies Explained
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