When I picked up the phone, I heard the voice of our client Kay on the other end. Kay and I met recently at our office a few months ago to make changes to their policies after her husband retired. I suspected it was bad news.
“Our house was broken into.”
“Oh no,” was all I could blurt out at first. “Are you and your family OK? Was anyone hurt?”
“No,” she replied, “we were out having dinner when it happened, so nobody was home.”
“Thank goodness,” I said. “Do you have an idea what was stolen?”
“A few electronic gadgets, a laptop and the jewelry that was sitting on our dresser, unfortunately.”
As our staff helped Kay process the claim, the jewelry stood out. Kay had collected some lovely gold necklaces, chains, and a beautiful white gold tennis bracelet. Some were gifts, some were purchases she had made over the years. All had risen in value over the last 18 months with skyrocketing gold prices.
While much of the value of jewelry made of precious metals is found in the craftsmanship and beauty of the piece itself, the metal cost is also a factor for insurance purposes. The spot price for gold that once was under $300 per ounce has shot as high as $1500 per ounce. Depending on the policy you hold, a loss of an item made of precious metal may not be fully insured if market prices for the metal has made the replacement cost higher than the policy covers.
Anything made of gold, platinum, silver, sterling silver, or even precious stones can shoot up in value. Fortunately, Kay had reviewed her policy earlier in the year with our team and had the right insurance to restore her loss. Kay’s call had been to make sure this was the case.
I called her back after double-checking her policy, and was able to assure her that the loss would be covered. In short order her claim was processed.
If you have a collection of coins or jewelry and are not sure if you are fully protected, please contact your insurance agent. Your agent will want to know what the value of your items are, so consider taking the time to have a reputable jeweler take a look at your investments and estimate the value. O’Connor Insurance wants to make sure our customers are protected. Call us anytime.