Many Albertans are collecting and creating wealth unknowingly through every day purchases like jewelry that over time can continue to increase in value as an individual piece or develop into an entire collection. Over time this innocent accumulation of value increases, often to levels not covered by a typical homeowner’s insurance policy.
At Thomson Schindle Green Insurance Company, we understand how valuable your personal belongings are to you, especially when it comes to such personal items as jewelry and the sentimentality that is often associated with that ‘special’ piece. It’s important to know that just because you have homeowners insurance, your jewelry is not automatically covered, and the best guarantee is to discuss the items and whether you should schedule them with your broker.
In the strictest of terms, a Policy Schedule is an outline of the coverage provided under the policy, it will show details of the policyholder, what the policyholder does, and the coverage given and the relevant limits, sums insured, and excess. Scheduled personal property protects valuable items that are out of the ordinary and need to carry separate coverage to ensure that their full value is covered in the event of a claim.
Adding a jewelry schedule to your homeowner’s or tenant’s insurance policy has several benefits including:
- Coverage if a stone falls out of your ring, the most common claim.
- No deductible applies (versus the $1,000 deductible commonly applied to claims for unscheduled property – you pay the first $1,000 of a claim, and the insurance company pays the rest up to your coverage limit).
- The cost of adding scheduled jewelry to your home insurance typically ranges from 1.5 – 2 percent of its appraised value. (Because diamond jewelry tends to appreciate over time as diamond prices rise, insurance companies commonly require a new appraisal every five years.)
Remember that the most important thing about an appraisal is to provide you with accurate documentation and accurate replacement values. If you go ahead, some insurance companies will require an appraisal, whereas some do not. Often times the store where you’ve purchased your jewelry will offer free appraisals.
All companies have limits or maximum amounts they pay out for jewelry. It’s up to you to weigh the expense against the protection it buys, and to ensure that you’re jewelry is adequately covered, talk to your TSG Insurance broker.
Your other prized possessions can also benefit from being scheduled including computer hardware and software, sound equipment, and photographic equipment – these are covered up to the limits of your contents insurance, for their depreciated value unless you have replacement cost coverage.
Home Insurance in Alberta
As a full-service, independently-operated insurance brokerage that provides insurance policies from maximum to minimum coverage to meet your individual or business needs, the home insurance brokers at TSG Insurance are happy to discuss the rates for our selection of insurance products and financial planning. If you have questions about scheduling any of your prized possessions, contact Thomson Schindle Green Insurance Company at 1-800-830-9423 to speak with one of our highly qualified representatives or visit one of our offices in Bassano, Brooks, Calgary, Edmonton, and Medicine Hat today.