Many Australians own jewellery, whether as an heirloom, for commemorating life events, or simply as a keepsake. Given how expensive jewellery can be, you’d naturally want to protect it and preserve its value for a long time.
If you’re a homeowner, one way you can do so is by purchasing a home and contents insurance policy that also covers your jewellery. You can consider buying a standalone policy either just for your jewellery or for all your high-value belongings, but this may work out to be more expensive than a home and contents insurance policy.
Can I file a home insurance claim for lost jewellery?
The average home and contents insurance policy in Australia may only cover lost jewellery in some circumstances, and even then only up to a certain value. For instance, if a burglary results in your jewellery being stolen or damaged, you may be able to file an insurance claim and recover the jewellery’s cost to the coverage limit mentioned in your policy.
If the incident in which your jewellery is lost is not listed in your insurance policy, your insurer may not entertain your claim. Consider checking the details of your insurance policy to know which incidents are covered.
If your jewellery is not adequately covered by your home and contents insurance policy you may want to consider purchasing additional coverage. Be sure to negotiate with your insurer prior to buying the policy as they will likely not agree to raise the insured sum after an incident. You may need to choose between paying a higher premium for insuring your jewellery or agreeing to your insurer’s coverage limits and bearing out of pocket costs later.
Try to ensure that your jewellery is not underinsured by making sure your insurer includes the full value and details of your jewellery in your insurance policy. You need to confirm that the sum insured through the policy covers the full cost of replacing your jewellery.
Since you’d want to protect your jewellery while in your home as well as when outside, you should explore various options for insuring them, including specialised policies that only cover high-value jewellery.
If you lose your jewels while wearing them outside the home, your home and contents insurance policy may not help you recover their cost. Anyone in the habit of wearing jewellery regularly or needing to travel with jewellery may consider buying a personal effects insurance policy. You may want to check if the personal effects policy you buy is valid for travel outside Australia, as loss during an international trip may not be eligible for a claim.
If you have to file an insurance claim, remembering the specific incident in which you lost your jewellery is crucial. For example, if you’ve simply misplaced your jewellery and can’t find it again, your insurer may not treat it as an accidental loss.
Similarly, the value of jewellery that is lost or damaged intentionally will not be compensated by the insurer. You can choose to document the condition of the jewellery using high-resolution photographs at the time of purchasing the insurance policy, as this can help you make quick comparisons while filing your insurance claim.
In the event your jewellery has been stolen, you may need to file a complaint with the police and submit the report, along with proof that you own the jewellery and proof of its value, as part of your insurance claim. If your claim is approved, the insurance provider may only cover repairs or replacement undertaken by a jeweller from their network.
- Consider getting your jewellery assessed by a jeweller of your choice from time to time, and keeping a record of these assessments.