Jewelry Insurance

Jewelry Insurance: How Can You Benefit from It? 

When a customer walks in your jewelry store, it is an opportunity not only to make a sale but most importantly, establish trust with your customers. As a jewelry store owner, you understand that jewelry symbolizes precious moments for your customers and you would want to help them create and preserve those moments with every piece they purchase from your jewelry store.  Maybe it is a diamond engagement ring that they saved up for many years?  Or a celebratory gift to someone special to them? It is only understandable that they have the fear of losing or damaging it.

How Can Jewelry Store Owners Assure Their Customers?

As much as possible, as a jewelry store owner, you want to assure your customers that their jewelry is protected. Although the sentimental value is irreplaceable, is it not a relief to know that they can always claim back its monetary value? If this is the assurance you want to offer to your customers, then jewelry insurance can guarantee it.

Although not all jewelry stores offer personal jewelry insurance, they can work with a partner jewelry insurance company or simply connect their customers to an insurance company that can offer them the best service. Most customers believe that their trusted jewelry store knows the industry better and they rely on their recommendations. This is an opportunity for the jewelry store owners to form connections and build their reputation. This will eventually lead to more sales from returning customers or from their referrals.

How Does Jewelry Insurance Work?

How Does Jewelry Insurance Work?

Like other types of insurance, jewelry insurance provides a guarantee of compensation for loss or damage of the jewelry in exchange for paying the premium specified on the policy.

While jewelry can be included as a scheduled item on homeowners insurance policy as a rider, floater, or endorsement, having a standalone jewelry insurance has many advantages. In a situation where the owner lost a jewelry with sentimental value, they may want to replace it with something similar. However, homeowner insurance policy will only pay for the repair or replacement value of the jewelry it is insured for. On the other hand, a jewelry insurance will help to find the same kind and quality of the jewelry as replacement.

Also, if a jewelry claim is filed under the homeowners insurance policy, it could affect the succeeding premium rates or the entire homeowners insurance policy. While the standalone jewelry insurance policy focuses only on the value of the jewelry.

What Types of Jewelry are Worth Insuring?

Generally, any jewelry with value to the owner is worth insuring. An item is valuable enough to be insured if it will cost significantly for a repair or replacement if ever it got damaged or lost. Jewelry Insurance typically covers fine jewelry including the following:

Stunning Jewelry Rings for Every Occasion


Timeless Bracelets to Complement Your Outfit


Add Sparkle to Your Day with Gorgeous Earrings


Enhance Your Look with Beautiful Chains


Elegant watches that never go out of style


Dazzling Diamond Pendants


Precious Loose Stones

Loose Stones

What is Covered by Jewelry Insurance?

Jewelry insurance policy gives jewelry owners peace of mind because it protects their jewelry from almost every possible worst-case scenario. Below are the coverages of standalone jewelry insurance depending on the policy.

  •  Loss

Jewelry is a delicate small piece and it is easy to lose it. The owner may have left it somewhere and it is impossible to find it again especially if they left it in a public place, a bathroom for example. It is less worrying for them when they have jewelry insurance because it is covered.

  •  Theft

Jewelry is an easy target for burglars because it is easy to carry and has high monetary value. There is no need to worry because stolen jewelry is covered by the jewelry insurance policy.

  • Damage

Jewelry is a fragile little thing and it is prone to damage. Even diamonds can break after all. When the jewelry got broken or got damaged, the jewelry insurance policy can cover it.

  • Disappearance

It is possible that jewelry just mysteriously disappears. The owner may have forgotten where they last put it or maybe a ring just slipped off from their finger unknowingly. Or sometimes they simply cannot tell how it happened. The good thing is the jewelry insurance policy can also cover this unfortunate event.

  • International Travel

When the above incident happens while abroad or  anywhere in the world, the jewelry insurance policy will still cover it. Therefore, they can wear their jewelry worry-free wherever they are.

  • Loose Stones

Although not all jewelry insurance policies offer this coverage, some policies cover loose stones. A typical example is when the owner notices that the ring has a missing diamond, this can also be covered in their policy.

What is Not Covered by Jewelry Insurance?

Keep in mind that the coverage of jewelry insurance depends on the agreed policy therefore it is important to understand the jewelry insurance policy. It is imperative to know what the jewelry insurance cannot cover. Generally, a jewelry insurance policy does not cover the following:

  • Intentional acts

Damaging or losing the jewelry on purpose will not be covered.

  • Deterioration

Whether pre-existing damage like manufacturer’s defect or expected gradual damage from wear and tear is not covered.

  • Pest infestation

Damage caused by vermin, rodents, or insects is not covered.

How Much Does Jewelry Insurance Cost?

There are many factors to consider when determining the premium rates including the type and value of the jewelry. The location can also affect the jewelry insurance cost.  Typically, a standalone jewelry insurance costs 1% to 2% of the jewelry’s value. Therefore, a jewelry valued at $5,000 will cost from $50 to $100 annual premium.

Where to Get the Best Jewelry Insurance?

In choosing the jewelry insurance company, it is important to consider not only their policy premium rates but most importantly, their stability and reliability. Choose a jewelry insurance company that has established its name and will remain in business for many years. Every jewelry retailer should be able to advise their customers on reputable jewelry insurance companies that will help them protect their purchase.

Final Thoughts

Ultimately, the assurance that jewelry insurance can give is priceless. As a jewelry store owner, offering your customers protection for their jewelry can build their confidence in purchasing jewelry from your store. You may refer your customers to a reputable jewelry insurance company who can provide this service to them. With the insurance policy that suits the protection they need for their jewelry; they can appreciate and confidently wear their jewelry purchase from your store. After all, jewelry is designed to be worn and enjoyed.