Any insurance company that cuts check for jewelry under $10K?

[nkarma]

My ideal insurance company would:
1) Take receipts for value not appraisal
2) Cut check for item
3) Stand alone policy
4) Take inflation into account

I am willing to negotiate on number 2 but not 1.

My ring is ~$6500 and I don't have or plan to get renters insurance.

I have heard of JM and need to see whether I can just insure for what I bought ring for. I saw another post where the woman paid premiums on the appraisal value and then when it was lost, got to spend a few K less because it was replace in kind. I also just want to replace in kind and don't need to spend $150 to get an appraisal to tell me what I bought the ring for. It's GIA certified.

Thanks in advance for responses. I have searched the forum fruitlessly.

 

[denverappraiser]

1) Take receipts for value not appraisal
Nearly all will do this although sometimes it takes a bit of discussion to get past the agent because it’s a curiously unusual request. Sometimes all it takes is a discussion with the appraiser about using the most appropriate market in order to get a reasonable value conclusion. After a bit of time they ALL require an appraisal because the value of things changes with time.

2) Cut check for item
Unlikely in a stand alone policy below $10k. Chubb, Geico/Travellers, Firemans’ Fund all have this as an option under the right circumstances but they want it to be a bundle with your other insurance needs and most will have a minimum requirement to do business at all. Most others have a cash out sort of procedure where you can get a check but the amount of the check is not necessarily the face value of the policy, in fact it usually isn’t and you usually have to fight for it.

3) Stand alone policy
Jewelers Mutual, Gemshield. Both will accept the receipt as a basis for value and neither offers a declared value type policy (question 1 and 2 above).

4) Take inflation into account
Most will do this, but why do you want them to do it? Insurers are generally happy to ratchet your value based on some pre-determined rate but this done because it's in their interest, not yours. This is far more often a problem than a feature because you end up seriously overinsured, even if you weren't to start with. I see more people fighting to prevent this than insisting on it. Appreciation (or depreciation) of value is not something that you can reasonably predict in advance using a straight line formula.

Neil Beaty
GG(GIA) ICGA(AGS) NAJA
Professional Appraisals in Denver

 

[neatfreak]

I have JM and they are happy to take the receipt as long as the receipt states what was bought. Mine is insured for what I bought it for (well a bit more to cover inflation)-not an inflated appraisal price.

Then again when I bought it I asked for a real value appraisal as well-and was easily given that. So that's an option too.

JM won't just cut you a check-but they will let you work with whatever jeweler you want for the replacement. I had to make a claim and it was SO easy.

 

[nkarma]

Thanks Neil and neatfreak. I had read many times on here that JM only took appraisals. If there are no policies that cut you check then I will have to go with replacement in kind.