We’ve tackled the cost of engagement ring insurance and watch collection insurance; now we turn our attention to jewellery insurance.
You’ll be pleased to know that jewellery insurance carries a simple rating structure. When we talk about jewellery we’re referring to all items that are not engagement rings, eternity rings or watches. This includes necklaces, bangles, bracelets, collars, earrings, cufflinks and the like.
Base rating of a stand-alone product
- The base rating as set by the insurer for jewellery it’s typically 2%
- The postcode of the risk address effects the rate. Some postcodes are discounted by up to 10%!
- The age of the prospect can effect the base rate. Typically, the younger you are, the higher the rate
- The claims history. Any claims in the past five years and load the base rating
- The value of the item to be insured. The higher the value, the greater the base rate
- Insurance premium tax [IPT]. This is currently 12% of the insurance premium but does not include the broker fee
- The broker administration fee. For us, this is £25 at new business (we do not charge mid-term fees)
The magic formula for an estimated cost:
Value of jewellery x 1.5% (base rate) x 1.12 (IPT at 12%) + 25 = estimate cost for 12 months cover.
IE. £10,000 x 1.5% x 1.12 + £25 = £229 estimate cost for 12 months cover
Stand-alone insurance or home insurance – what is better for my jewellery collection?
If you have one or two items to insure and the rest of your insurance requirements are modest in comparison (for example, you own a £30,000 bracelet but only need £50,000 of general contents insurance cover) then a stand-alone option could be the best way forward. However, if you own a large collection of jewellery and you require over £100,000 of general contents cover, we can usually negotiate a 1% base rate for your jewellery cover with a high-value home insurance provider. In this instance a home insurance policy would be more suitable.
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Specific Insurance Cost Examples
How much will it cost to insure a Cartier Love Bangle?
If you want to insure a £11,400 Cartier Love Bangle, you live in the lowest rated area, you are 55 years old and you have had no claims in the past 5 years. The rate for this would be: £272.02 to £301.25 including a £25 fee and IPT.
How much will it cost to insure my Boodles earring set?
If you want to insure a £23,000 Boodles Ribbons Ashoka Platinum Gold Diamond Earrings set, you live in a middle area, you are 45 years old and you have had no claims in the last 5 years. The rate for this would be: £465.86 to £515.26 including a £25 fee and IPT.
How much will it cost to insure my Graff Diamond Bangle?
IF you want to insure a £12,000 Spiral Pavé Diamond Bangle, you live in the modest rates area, you are 60 years old and you have had no claims in the last 5 years. The rate for this would be: £276.94 to £3012.12 including a £25 fee and insurance premium tax.
To get an exact quote give us a call on 01730 777600 or fill out an online form by clicking here.
