All You Need to Know About Jewellery Insurance Policies

Posted on: Jan 13, 2025 | 3 mins | Written by: HDFC ERGO Team

All You Need to Know About Jewellery Insurance Policies

Indians love jewellery. Even the ever increasing gold prices do not hamper us from buying jewellery. And there are several reasons for the same. Primarily, gold serves as an asset, which can be extremely handy during dire situations. As it is one of the most valuable purchases, it is essential to protect your jewellery with a jewellery insurance. Here is all that you need to know about it.

Understanding Jewellery Insurance

For most of us Jewellery has a lot of sentimental and emotional value, apart from its intrinsic value. Your first diamond ring, engagement ring, heirloom jewellery, etc. are almost priceless. Considering the additional value, due to sentiments and emotions, it becomes even more important to secure your jewellery. Buying a comprehensive jewellery insurance will help you secure your precious jewellery and receive complete peace of mind at the same time. The plan will allow you to wear your jewellery and store them without having to constantly worry.

Perks of Jewellery Insurance

There is a lot of potential risk for house owners, in the form of burglary. There are numerous instances across the country, where jewellery and other important items are stolen from a house, either in the absence of the residents or in some extreme cases even during their presence. Opting for a house insurance policy with jewellery cover or jewellery insurance plan offers the following perks.

1. While burglary and theft are two prominent fears, they are not the only ones. When you opt for a jewellery insurance, you can secure your jewellery against burglary, theft, loss, damage or fire related incidents.

2. Most of the plans will allow you to choose a sum insured of your choice, allowing better flexibility and coverage for your valuables.

3. A jewellery insurance plan is a must if you are someone who believes in storing your valuables in the home rather than bank lockers. It offers complete peace of mind.

4. If your house is on the receiving end of damages due to natural calamities such as flood, cyclone, earthquake, landside, etc. your jewellery will also be damaged in the ordeal. A good house insurance plan with jewellery coverage will ensure all round protection.

5. The plan not only protects your jewellery at home but also safeguards it at shops as well as exhibitions.

Jewellery Covered Under the Plan

A jewellery insurance plan offers coverage for a wide range of needs and requirements. The following are some of the most common scenarios, where a policy holder can opt for the plan.

1. If you are an individual or a homeowner and want to safeguard your jewellery. These can include any heirloom jewellery, jewellery that you were gifted during your wedding or jewellery that you have bought over years. You can either opt for home insurance policy or a comprehensive jewellery insurance plan for cases such as burglary, theft, natural calamities, etc.

2. If you are someone who owns a showroom and wants to secure your jewellery stock, that includes stock on premise, stock that is in transit or the stock that is in exhibitions, a comprehensive jewellery plan is highly recommended.

3. Should you opt for a comprehensive jewellery policy, you can choose add-ons to protect other elements such as electronic equipment, money stored in the store or in transit, damage to protection glass for the jewellery, etc.

Inclusions

Most property insurance plans offer jewellery protection at some level. You can extensively opt for a comprehensive jewellery insurance as well. Here is all the coverage that you can expect from the plan.

1. The plan protects your jewellery against any fire related incidents, which can cause significant damage.

2. Your jewellery is safe, irrespective of where you keep it, whether its at your home, shop or any exhibition.

3. The plan safeguards your jewellery against natural calamities, which has a much higher occurrence rate. Natural calamites of various types and magnitude can cause significant damage to your property and jewellery as a result of it.

4. Lastly, the plan protects your jewellery from any burglary or theft.

Exclusions

Before you choose a jewellery insurance policy, it is important to be aware of the different clauses when the policy has your back and when it does not. Here are the exclusions or conditions, where your insurance provider might not honour the policy claims.

1. If you sell your existing jewellery and buy a new one, the new jewellery does not automatically get the necessary coverage. The plan only covers the items which were listen, while you bought the policy.

2. Normal wear and tear causing damage to your jewellery is not covered as a part of the plan. This includes any damages caused during repairing, cleaning or servicing your jewellery.

3. In the event of any confiscation of the jewellery by authorities, on failure to pay EMIs, are not covered as a part of the policy.

4. If it is determined that that owner of the jewellery neglected the items intentionally, the policy might not cover the claims.

5. It is extremely important that you are transparent about the jewellery that you own. Failing to provide details while buying the policy can hurt your claim chances at a later stage.

Documents Needed for Claim

If you want to file a claim for your jewellery insurance, you will need to furnish the following documents to your insurance provider.

1. A claims form that is duly filled out.

2. A copy of the insurance policy.

3. Any sort of photographic or video evidence of the damages caused.

4. FIR for any items that were stolen or burgled. ,/p>

5. A report from the fire department, in the event of a fire.

6. KYC related documents.

How to File a Claim?

Here are all the steps that you will need to follow, to file a claim for your jewellery insurance policy.

1. Inform your insurance provider regarding the incident whether it is fire, theft or burglary.

2. In the event of theft or burglary, ensure to provide a copy of FIR.

3. You will need to provide valuation for the jewellery for which you are filing the claim.

4. Submit any other supporting documents, as requested by your insurance provider.

5. Insurance provider usually send an independent surveyor to assess the damage and after a thorough investigation, send the report to the provider.

6. Once approved, you will receive the sum insured of the policy as per the claim filed.

Conclusion

Considering the rising price of gold and other precious metals, it is only apt that you opt for a jewellery insurance policy to safeguard them. The plan offers protection against most common perils that jewellery face in our country. Fortunately, there is a lot of flexibility when it comes to jewellery insurance. You can either opt for building insurance policies and attach your jewellery to the plan. Or you can opt for a comprehensive jewellery plan for better coverage and protection.

Disclaimer: The above information is for illustrative purposes only. For more details, please refer to the policy wordings and prospectus before concluding the sales.

Will The New Tax Laws On Gold Impact Your Personal Finances?

Top 7 Tips For Buying Gold This Dhanteras

Can You Claim Lost Jewellery in Insurance?

Gold Jewellary Insurance: The Safe and Secured Way To Keep Your Valuables Protected