If you’ve ever lost your valuable jewelry, you know how devastating it feels. Apart from losing financial value, you also lose the sentimentality of your precious stone. The worst part of your Loss would be not knowing the value of your missing piece. Or not having insured it. And the solution is getting Jewelry appraisal insurance for your valuable items before heading out to a jewelry insurance company.
Another reason for wanting to get a jewelry appraisal is selling or knowing your precious diamond wedding band’s value after a divorce. It doesn’t matter the reason; knowing getting a jewelry appraisal is an excellent idea. Let’s learn some m of the benefits you get by appraising your jewelry.
- Replacement Value Appraisal
Appraisal for insurance purposes is the most common. The cost of replacement value received if your jewelry gets stolen, damaged, or lost is known as retail replacement value. You can also get an appraisal after purchasing your valuable piece to ensure that the seller appropriately represented it. Since jewelry appraisal insurance is an estimate of the amount you’d buy a new replacement of your precious gem, the appraiser will inflate the value. The reason for inflation is because of several factors, including; market fluctuation and insurance premiums.
2. Fair Market Value Appraisal
The current market value determines this jewelry appraisal. And it’s done in the event you want to do a private sale, tax liability, or when you want to do an estate or divorce settlement. It gives an estimate of the amount you’d receive after selling your piece to a willing buyer. And unlike the retail value, the estimated amount is usually lower.
3. Jewelry Liquidation Appraisal
At some point in your jewelry life, you may need to liquidate your valuables. And no matter the reason, whether the estate or divorce liquidation, you can request a liquidation appraisal.
4. Prove of Value in the event of Loss
A qualified appraiser will help you to determine the value of your fine jewelry. Don’t expect your insurance company to pay you just because you’ve filed a claim. They always have to validate the details of your Claim before they settle. They’ll require a police report if your valuable piece gets stolen. If you have your jewelry appraisal regularly, even the appraiser can verify your precious piece’s condition, valuation, and quality. And it’s enough to prove your Claim. It’s highly recommended you choose a qualified appraiser to ensure they evaluate your jewelry correctly.
5. Have an Updated Assessment of Your Jewelry
You might think that having an updated appraisal is bothersome, but let’s look at the bigger picture. It helps you to change your policies correctly, as values will continuously shift. The market price of diamonds and popular precious metals will also fluctuate, affecting your jewelry worth. Not to forget, some vintage pieces may go out of trend, affecting the value. By regular jewelry appraisal insurance, you’re confident that precious gems get insured at a proper current value.
6. Jewelry Appraisal Should be an Easy Process
Jewelry appraisal will only seem daunting to you if you don’t know much about what it involves. Be assured that there are stress-free ways to traverse jewelry appraisal; with the available technology, you’re able to get the appraiser’s reviews and qualifications before visiting them. It may be all new to you, but it’s worth knowing many people have done it successfully.
7. Set a Value for Your Jewelry
That’s right. An appraisal sets the value for your value. And with the value of precious metals and gemstone fluctuating, knowing your jewelry worth saves you if you lose your piece. Detailed updated value offers a smooth settlement process if, for some reason, you suffer Loss.
8. Learn About the Jewelry Materials
If you own some heirloom jewelry with no details of its history, an appraisal will help you learn everything about it. You’ll know who made it and whether it’s a unique piece or a vintage. You’ll also get to know the precious metal and the stone and determine each value, hence the overall worth.
9. Get an Appraisal Report
Most reputable jewelers have qualified appraisers that you can go to for appraisal. Be sure to check if they have the required credentials to do jewelry appraisal. Don’t confuse a grading report that you already have and an appraisal report. A grading report will authenticate your precious pieces’ quality, while an appraisal report ascertains the value. Let’s have a look at what this report entails;
- Your full names and your address
- Type of jewelry appraised
- What the piece consists of
- The design for your valuable
- Type of stone used
- How to grade the gemstone
- Current condition including that of precious metal
- Appraisal purpose – whether insurance placement or others
- Colored Photograph
- The current value of your jewelry
- Its origin, designer, and manufacturer
- Credentials of the person appraising
- Appraiser’s signature and the date appended
10. Peace of Mind
You’ve worked hard to invest in your fine jewelry. Have it appraised means protecting it in the event it gets damaged, stolen, or lost. It’ll give you peace of mind, knowing in case of any eventuality, you get safeguarded. And jewelry appraisal insurance is necessary for the insurance to ensure that you receive full replacement value for your gems.
When to Get an Appraisal
The earlier, the better. If you’ve just purchased a new ring, have it appraised immediately. For the old collection, remember, the price of precious metals and diamonds keeps going up. So, be sure to have your precious gems appraised every five years. Doing this will ensure you get the full market value of your jewelry should the worst happen.
In Conclusion: Update your jewelry appraisal today. Be sure to get the best value of your precious gems when you visit a qualified appraiser arm yourself with the right question. If you lose your jewelry for whatever reason, you’ll save yourself from heartache, having appraised your jewelry. Important note, be wary of a jeweler who appraises way above the price it cost you.