Horological Meandering

whit
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Insurance?

I believe the quote you received is pretty much in line.  These rates can vary depending upon the amount insured and companies may have you do more to reduce risk on higher valued items.

I think it would be prudent on your part to inquire how a loss would be handled .. have the agent explain specifically the process for replacement.  I think most folks tend to think if they have a loss, the insurance company is just going to fire off a check for the insured amount.  Generally, that is not the case.  The insured amount is the limit of their liability.  If you want coverage which the company will pay the insured amount, you will need to ask if they provide such a policy.  Here in North Carolina, companies are required to replace with like kind and quality.  And that must be well defined in the statement of value (appraisal).  If poorly defined, the door is open to allow for replacement or payment to be less than the insured value.

I have dealt with insurance companies for almost 40 years with replacing or repairing jewelry and watches.  It can be a very frustrating experience and typically that frustration comes from the insured (you) not fully understanding the process in the event of a loss.  I cannot stress this enough, ask questions and if your agent cannot answer them, have him find out to give you the specifics.

Is it worth it?  Have you ever had a loss?  Are you careful with these high valued items?  I had a client who was spending $6,000.00 a year to insure jewelry and watches and did so for 10 years without a loss.  $60,000.00 for piece of mind.  He came in to buy his wife a birthday gift and I asked if he was going to insure this and he said no.  He made the decision to put $6,000.00 a year in an account with the thought of becoming self-insured.  He realized for the first 5-7 years, he would have some exposure, but if he was able to accumulate enough, he would be able to handle it without a problem.  Now, he could have handled it with no problem to begin with but early on insured jewelry, art, and other valuables without too much thought until he realized how much he had spent over the 10 year period.  He and his wife were careful and it made sense when he opted to eliminate the jewelry schedule altogether. 

Another thought is to buy a safe, and by this I mean a UL rated TR-TL 30x6 secured in a remote area.  There are alternatives to insurance, just think about what is right for you.

Hope this helps.

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