I was asked by The Times to give an insurance comment (here) on the recent Hatton Gardens Jewellery Heist and so I thought it wise to give an update on the safest ways to insure your jewellery and other valuables.
The price of precious metal and gemstones continues to climb so most insurers will require valuations to be done every 3 years to make sure values are in line with these increased prices.
The onus is always on the client to give proof of ownership of any valuable items so holding on to purchase receipts, valuations and photos means that in the event of a claim things should be settled promptly and efficiently.
In general insurers will split valuables into ‘specified items’ and ‘unspecified items’.
- An insurer will set an individual item limit, any items over that limit must be specified on the policy. Depending on the insurer this sum can be £5k, £7.5k, £10k or even £17.5k (higher level insurers tend to have higher limits than mid level insurers etc – typically standard online insurers have limits as low as £1500). Specified items will require a copy of the valuation as proof.
- Your insurer will notify you if your valuables need to be kept in a safe or worn to remain in line with the policy, this will depend on what valuables you own, where you live and the security at the property.
- Anything under the set limit is classed as an ‘unspecified item’.
For high value items:
- Some insurers can place personal custody clauses on high value items, which mean they will only cover the items if they are being worn or are locked in a safe/bank vault.
- A safe at your property should ideally be bolted to the floor or solid walls (Note: a gun safe is deemed inappropriate to store jewellery by most insurers)
- Safe’s have cash and jewellery ratings against them; It’s important that the jewellery rating of your safe is sufficient to cover its contents.
- It is possible to arrange ‘floating’ policies that insure some items out of the safe as well as in.
It’s a good rule of thumb to insure high value items as part of a high value home insurance policy with a reputable insurer. To find out more contact me on firstname.lastname@example.org or tweet me @InsuranceAmy