Appraisal

[beardog]

When you guys buy AGS/GIA do you tend to get a second appraisal or take what is passed by your insurance quote IE Jewelers mutual?
Mine is a WF ACA.
BTW I thought I watched these threads too often before but now that the excitement & anxiety of waiting for my delivery to ship has kicked in I can't stop.

 

[crbl999]

I have no experience with JM, but I have had a Personal Articles Policy with State Farm. They gave me two options for the insured amount; either the price I paid or a reasonable secondary appraisal. I have always used @denverappraiser (Neil Beaty) for my appraisals. He does a great job and is very detailed in his work. The appraisal amount was about 20-30% higher than what I paid to offset any increase in diamond prices over the years. I did not keep up with diamond prices and it was about 4-5 years since I had it appraised so I'm glad it was reasonably inflated. In the event of a claim, my biggest concern was that the diamond would be replaced with a branded super ideal and not something that was deemed comparable by one of their jewelers.

 

[beardog]

I have no experience with JM, but I have had a Personal Articles Policy with State Farm. They gave me two options for the insured amount; either the price I paid or a reasonable secondary appraisal. I have always used @denverappraiser (Neil Beaty) for my appraisals. He does a great job and is very detailed in his work. The appraisal amount was about 20-30% higher than what I paid to offset any increase in diamond prices over the years. I did not keep up with diamond prices and it was about 4-5 years since I had it appraised so I'm glad it was reasonably inflated. In the event of a claim, my biggest concern was that the diamond would be replaced with a branded super ideal and not something that was deemed comparable by one of their jewelers.

Perfect thank you

 

[msop04]

I have no experience with JM, but I have had a Personal Articles Policy with State Farm. They gave me two options for the insured amount; either the price I paid or a reasonable secondary appraisal. I have always used @denverappraiser (Neil Beaty) for my appraisals. He does a great job and is very detailed in his work. The appraisal amount was about 20-30% higher than what I paid to offset any increase in diamond prices over the years. I did not keep up with diamond prices and it was about 4-5 years since I had it appraised so I'm glad it was reasonably inflated. In the event of a claim, my biggest concern was that the diamond would be replaced with a branded super ideal and not something that was deemed comparable by one of their jewelers.

Keep in mind that you'll be paying an insurance premium based on the amount of the appraisal unless you state another amount. So if you do have to file a claim, you will not be allowed the amount of money that the appraisal states... only what it would cost to replace - so keep that in mind. I think 10-15% is more reasonable, especially if you plan on having it reappraised every 3-4 years or so.

I learned that the hard way. My appraisal was a good 30% more than what I paid, so I was paying way more to insure it than was needed or necessary. It's good to have your insured item(s) appraised every so often, but it's crazy to me to use a super inflated appraisal in which the premium will be based. Now my premium is based on what it would legitimately cost to replace my diamond, not what it appraises for.

 

[missy]

Keep in mind that you'll be paying an insurance premium based on the amount of the appraisal unless you state another amount. So if you do have to file a claim, you will not be allowed the amount of money that the appraisal states... only what it would cost to replace - so keep that in mind. I think 10-15% is more reasonable, especially if you plan on having it reappraised every 3-4 years or so.

I learned that the hard way. My appraisal was a good 30% more than what I paid, so I was paying way more to insure it than was needed or necessary. It's good to have your insured item(s) appraised every so often, but it's crazy to me to use a super inflated appraisal in which the premium will be based. Now my premium is based on what it would legitimately cost to replace my diamond, not what it appraises for.

Exactly this. Right now I have not had my OEC appraised but insuring it for what I paid. Eventually when I reset I’ll have it appraised and adjust our insurance coverage. But you definitely don’t want to overpay for Insurance. It’s throwing money away.

 

[msop04]

Exactly this. Right now I have not had my OEC appraised but insuring it for what I paid. Eventually when I reset I’ll have it appraised and adjust our insurance coverage. But you definitely don’t want to overpay for Insurance. It’s throwing money away.

I know I felt so foolish after 4 years of overpaying... a lot. But now I know... you live and learn! Also, the insurance company won't pay what it would cost you, because they have contracts with jewelers for better prices when they need to replace due to a claim... another reason not to use a grossly inflated appraisal as the basis of a premium.

 

[crbl999]

Keep in mind that you'll be paying an insurance premium based on the amount of the appraisal unless you state another amount. So if you do have to file a claim, you will not be allowed the amount of money that the appraisal states... only what it would cost to replace - so keep that in mind. I think 10-15% is more reasonable, especially if you plan on having it reappraised every 3-4 years or so.

I learned that the hard way. My appraisal was a good 30% more than what I paid, so I was paying way more to insure it than was needed or necessary. It's good to have your insured item(s) appraised every so often, but it's crazy to me to use a super inflated appraisal in which the premium will be based. Now my premium is based on what it would legitimately cost to replace my diamond, not what it appraises for.

Yes, valid points that need to be considered. I got rates for the purchase and appraised amounts. Difference in premium was less than $1 per month. I compared the premium increase to the cost of a new appraisal and it made sense to go with the higher amount. My wife recently lost her ring and they wrote us a check for the appraisal amount. They did not question the appraisal amount or try to negotiate a lower payout.

 

[msop04]

Yes, valid points that need to be considered. I got rates for the purchase and appraised amounts. Difference in premium was less than $1 per month. I compared the premium increase to the cost of a new appraisal and it made sense to go with the higher amount. My wife recently lost her ring and they wrote us a check for the appraisal amount. They did not question the appraisal amount or try to negotiate a lower payout.

Well, in that case... RUN WILD! LOL
Wait... they wrote you a CHECK??!! I think I'm with the wrong insurance...

 

[msop04]

@crbl999, now you've piqued my curiosity... Not to derail (or totally to derail) this thread, butttttttt... would you mind explaining if there were any unique circumstances that would lead State Farm to just write out a check? Like, was it an original old cut or antique that simply couldn't be easily replaced?? Sorry... I'm nosey.

 

[MakingTheGrade]

Hmm. I never redid my insurance for my ring after the reset into a 5 stone. Probably should... but so so lazy.

 

[crbl999]

@crbl999, now you've piqued my curiosity... Not to derail (or totally to derail) this thread, butttttttt... would you mind explaining if there were any unique circumstances that would lead State Farm to just write out a check? Like, was it an original old cut or antique that simply couldn't be easily replaced?? Sorry... I'm nosey.

Glad to answer questions. She lost her e-ring. It was a BGD 1.007 G SI2 in the Peggy platinum setting. The appraisal was very detailed in regards to being branded H&A and the quality of the setting. I do believe this was an important factor in their decision as it made it very clear what I had and what it was to be replaced with ('like kind'). The adjustor was friendly and up front with my options. Work with one of their jewelers and go off whatever replacement value they come up with or a check for policy limits. She did say if I chose to work with one of their jewelers and didn't like the options for replacement I could then receive a check for the amount their jewelers came up with for replacement value. She said this could be less than policy limits.

 

[msop04]

Glad to answer questions. She lost her e-ring. It was a BGD 1.007 G SI2 in the Peggy platinum setting. The appraisal was very detailed in regards to being branded H&A and the quality of the setting. I do believe this was an important factor in their decision as it made it very clear what I had and what it was to be replaced with ('like kind'). The adjustor was friendly and up front with my options. Work with one of their jewelers and go off whatever replacement value they come up with or a check for policy limits. She did say if I chose to work with one of their jewelers and didn't like the options for replacement I could then receive a check for the amount their jewelers came up with for replacement value. She said this could be less than policy limits.

That's very interesting... so you received a check for less than the appraised value AND less than what it would cost to replace with BG for "like kind"? Sorry to ask so many questions, but I'm still trying to wrap my head around this. I just switched back to JM after being with GemSafe for a year because they lowered the amount they would insure... still debating if I should go with State Farm (as we have everything else with them already).

 

[msop04]

...and sorry to @beardog for the threadjack.

 

[crbl999]

That's very interesting... so you received a check for less than the appraised value AND less than what it would cost to replace with BG for "like kind"? Sorry to ask so many questions, but I'm still trying to wrap my head around this. I just switched back to JM after being with GemSafe for a year because they lowered the amount they would insure... still debating if I should go with State Farm (as we have everything else with them already).

I received a check for the appraisal amount which was policy limits.

If I chose to work with one of their jewelers and didn't like their options for replacement I then could opt for a check but the amount would be based off their jewelers replacement value and not the appraisal.

 

[msop04]

I received a check for the appraisal amount which was policy limits.

If I chose to work with one of their jewelers and didn't like their options for replacement I then could opt for a check but the amount would be based off their jewelers replacement value and not the appraisal.

Wow... you got very lucky. Did they even try to work with BG?

ETA: ...or was BG not on their list of jewelers (which would make more sense in this case)?

 

[beardog]

...and sorry to @beardog for the threadjack.

No problem enjoying the read

 

[crbl999]

Wow... you got very lucky. Did they even try to work with BG?

ETA: ...or was BG not on their list of jewelers (which would make more sense in this case)?

Honestly I didn't ask. When she gave me the option for a check in the amount of the policy I was surprised and immediately took that option. For me it was a no brainer as my wife wanted what she had.

 

[msop04]

Honestly I didn't ask. When she gave me the option for a check in the amount of the policy I was surprised and immediately took that option. For me it was a no brainer as my wife wanted what she had.

Absolutely!! Take the check and RUN!!! LOL

 

[carolinenc]

I got a check from State Farm and was able to replace my pendant with an ACA that cost the same as my original non ideal diamond was appraised for. So that worked out nicely.