|© 2012 Weinstein Jewelers of Novi|
When is the last time you assessed the worth of your valuables? In the latest economic trend, precious metals, i.e. gold and silver, are increasing in worth. While the increase in value is a great thing for jewelry owners, an unfortunate turn of events could leave you paying the increase out-of-pocket.
Let me explain. A typical homeowners insurance policy allows between $2,000 and $2,500 for jewelry coverage. Basically, that means that should your jewelry be damaged or stolen due to certain events (each policy will list what events are covered), the insurance company will pay out up to the limited price to replace your jewelry. Sounds reasonable, right?
But this shift in the value of precious metals has only occurred over the past couple years. If you haven't had your jewelry appraised or even remotely assessed the value of your metals, you might be shocked at how under-insured you are.
"A 14-karat-gold necklace that cost $750 to replace five years ago, for example, now runs $1,100, says Robert Aretz, president of Gem Appraisers & Consultants"(