January 19

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All Risk Insurance for Jewellery and Watches

January 19, 2023

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Items of value such as Jewellery and Watches can be insured All risk in Spain. This type of Insurance is becoming more and more common. Especially in the last few years with the watch sector seeing many brands increasing in value yearly. 

 

It is fine having insurance cover at home but the real risk will be loss or theft outside the home. This blog will outline the considerations when looking at insuring your items of value for all risk coverage.

 

What are the Security Requirements for All Risk Insurance cover


Is an alarm required to insure items of value

In some cases an alarm will not be required, it will depend on the total value of valuable items you want to cover. An Alarm may not be needed if the property is a penthouse, where as a detached villa will be more vulnerable and more likley need an alarm. The alarm if required by the insurer, will need to be connected to a security centre.

 

Is a safe required to items all risk

A safe is not usually required if you only have a few items of low value, but it depends on the value of each item as well as total value.

 

In some cases you may only have one piece of jewellery but the value is high. This is usually the case with an engagement ring.

 

The limit of how much a ring or watch costs before you need a safe will vary for each insurer.

 

How does the value of the jewellery or watches affect Insurance cover


Balance between general contents and all risk items

To include All-Risk cover for items of value, general contents will need to also be insured.

 

The balance between general contents and the all-risk cover is taken into account by the insurance company when considering if they will quote.

 

The figure that is used in most cases is 30%. Therefore if you have general contents to the value of 100,000 euros you will be able to add an extra 30,000 euros for items such as jewellery or watches under the full risk cover.

 

Is there a limit for jewellery

There is no limit on the total value or individual value of jewellery.

 

Engagement Rings and Watches will usually have a high individual value, but as long as the balance between general contents is fine, there will be no problem to get a quote. That being said, only certain companies are willing to quote, so always use a broker when looking at this cover.

 

What happens if you do not have the receipt of purchase for the jewellery or watch?

If you do not have the receipt of purchase, you can get the item valued by a jeweller. There are options to cover it solely based on photos. However, in order to have a smooth claim and fast payout, we recommend a valuation to be done.

 

– No option currently to insure jewellery on a separate policy

In Spain currently there are no companies that will quote solely for items of jewellery full risk. This may change in the future but for now you will need to purchase the cover packaged with your home insurance policy. 

 

Other important points to consider for All Risk cover

 

If you are at home does the ring need to be in a safe

The item of value will have to be in a safe if you are not wearing it at home, in order to have coverage. Some insurers will cover the item outside the safe when at home but we always advise you get in the habit of putting the items in a safe when you are not wearing it.

 

Is All Risk cover really world wide?

It is very important that you actually see the written clause on the insurance policy. For instance in some cases the cover is Europe only, which is not ideal if you travel widely.

 

Under Insuring an item to keep the insurance cost down

We do not recommend doing this as you will want to replace the item in event of a claim. However, if the item is of more sentimental value and you would not be able to replace it, then a lower value for the item can be agreed.

 

It will be very important to have the agreed value specified and for the insurance company to acknowledge the real value of the item.

 

An insurance broker will be in best position to arrange this agreement with you and the insurer. Contact us at Bsure to analyse and quote for the best insurer for your valued possesions. 

 

 

About the author

David Bloomfield - Health and Liability insurance specialist

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