Last updateTue, 19 Jun 2018 9pm

Jewelers Mutual warns the wrong insurance coverage could drive your customers to a competitor


(NEENAH, Wis.) - A successful jewelry business is built on the loyalty of its customers. That’s why smart jewelry retailers begin building a relationship with the very first purchase – most often, the purchase of an engagement ring. But despite a jeweler’s best efforts, the loss of a cherished piece of jewelry could drive that customer to another retailer entirely. The insurance provider may be the culprit, leaving neither the jeweler nor the customer any say.   

Standard homeowners’ policies may provide only limited jewelry protection, which could exclude damage and loss. That is a devastating blow to someone who’s already reeling from the loss of a ring or other piece to which they are emotionally attached. But even when policies make good on the claim, there can be real pain for the jeweler who sold the piece, as well. Many insurance carriers request that customers use jewelry repair or replacement companies within their network, or to obtain several estimates before proceeding with a claim. Those requirements can cut the original jeweler out of the loop, not to mention the inconvenience to the customer. It’s all dollars and cents to the insurer, but it’s a matter of trust and peace-of-mind to the customer.  

Jewelry insurance specialists recommend jewelers begin forming a relationship with their customer that extends beyond the jewelry sale. “We recommend that jewelers mention jewelry insurance to their customers with each jewelry sale,” says Michael Calabresa, director of business development for Jewelers Mutual Insurance Company. “Our personal jewelry insurance product, called Perfect Circle® Jewelry Insurance is an option for them to consider when making a decision about how to protect their purchase. What many jewelers don’t realize is that Jewelers Mutual sends their insured customers back through their door for regular jewelry cleaning, inspections, value reassessments and appraisals. These are all fantastic opportunities for jewelers to strengthen their customer relationships, upgrade jewelry and make additional sales when a customer sees something they just have to have.”

A Jewelers Mutual policy for Perfect Circle® Jewelry Insurance coverage is dedicated solely to jewelry. It provides worldwide comprehensive coverage against loss, theft, damage and mysterious disappearance or unexplained loss. “Not all policies offer the same types of coverage,” Calabresa says. “Jewelers Mutual will not require multiple estimates, and will allow the individual to work with their own trusted jeweler.

The final question to ask an insurer, Calabresa points out, is whether the policy will cover replacement of a lost or damaged piece with “same kind and quality” so the new piece will be virtually indistinguishable from their treasured original - “that it will be returned looking exactly as it did the day they fell in love with it.” And if the customer is concerned about digging into their own wallet to help cover the total costs of replacement or repair, the insurer should provide the option of choosing a $0 deductible. 

“If a jeweler wants to build and maintain a relationship with a client for life,” Calabresa recommends, “start by mentioning Jewelers Mutual – a company that specializes in insuring fine jewelry. We’re a company that understands how much that ring or necklace means to them, above its monetary value. Selecting the right insurance policy can pay off for both the jeweler and the client in the long run.”

Underwritten by Jewelers Mutual Insurance Company, Neenah, Wisconsin. Coverage is subject to underwriting review and approval, and to policy terms and conditions. To learn more, visit JewelersMutual.com.