Valuables, collections and scheduling items

Homeowners and renters policies impose sublimits on specified categories, regardless of the overall contents limit.

Someone with a $200,000 contents limit may have a few thousand dollars of coverage for jewelry theft.

The typical sublimits

Amounts vary by policy and the categories are consistent.

Jewelry, watches and precious stones, commonly limited for theft specifically, at a low figure.

Note the distinction: the sublimit frequently applies to theft only. A fire loss may be covered to the full contents limit while a theft of the same items is capped.

Silverware, goldware and pewterware, also typically theft-limited.

Firearms, similarly.

Cash and precious metals, capped very low — frequently a few hundred dollars.

Securities, deeds, manuscripts and stamps.

Business property at the residence, and away from it at a lower figure.

Watercraft and trailers.

Fine art and collectibles, which may not be separately limited but which raise valuation questions.

Electronics and computers in some policies, particularly for business use.

Scheduling

Listing an item specifically on the policy, with a stated value, generally supported by an appraisal or a receipt.

The benefits are substantial and go beyond the limit.

Full coverage up to the scheduled value, without the sublimit.

Broader perils. Scheduled personal property is typically written on an open perils basis, covering mysterious disappearance — losing a ring, a stone falling out — which unscheduled property does not cover.

This is the most valuable difference. Most jewelry losses are not thefts; they are losses.

No deductible on scheduled items in many forms.

Agreed value in some forms, avoiding disputes about worth at claim time.

Worldwide coverage, generally.

The cost is a rate per hundred or thousand dollars of value, varying by item type and location. Jewelry rates are higher than fine art rates in most markets.

Appraisals

Required for most scheduled items above a threshold, and worth having anyway.

Use a qualified appraiser with credentials from a recognized body, appropriate to the item type — a jewelry appraiser for jewelry, a fine art appraiser for art.

The appraisal should describe the item in enough detail to identify it, state the basis of value, and be dated.

Update them. Values move considerably. Precious metal prices, gemstone markets, art markets and collectible markets all shift.

An appraisal from twelve years ago may be far below current replacement cost, and the scheduled value is what you receive.

Many insurers require updated appraisals periodically for higher-value items.

Photographs and records

Alongside the appraisal.

Photograph each item from several angles, including any hallmarks, serial numbers or distinguishing features.

Keep receipts, certificates and provenance documents.

Store all of it away from the house.

Collections

Wine, coins, stamps, sports memorabilia, musical instruments, cameras and similar collections raise specific issues.

Some can be scheduled as a blanket collection with a per-item limit, which avoids listing hundreds of items individually.

Others require itemization.

Specialist insurers exist for several categories and frequently provide better terms than a general homeowners endorsement — particularly for wine, musical instruments and fine art, where valuation, storage conditions and transit coverage matter.

Musical instruments used professionally are generally excluded from personal policies entirely and need a specialist policy.

Storage and security requirements

Scheduled coverage sometimes carries conditions: a safe of a specified rating, an alarm system, or storage in a bank vault for items above a value.

Read them. Failing to meet a condition at the time of loss can reduce or void the coverage for that item.

Conversely, meeting them frequently reduces the rate.

The review

Do this once and then annually.

List everything that might fall into a limited category: jewelry, watches, silver, firearms, art, collections, instruments, cameras, high-value electronics, and business equipment.

Total each category and compare to your policy's sublimit.

Schedule anything materially above the limit that you would want replaced.

Update appraisals on anything scheduled more than a few years ago.

And remove items you no longer own, since you are paying for coverage on them.

Inherited items

A common gap.

Jewelry and other valuables inherited are frequently never added to a policy, because the acquisition did not involve a purchase decision.

They are also frequently of substantial value and irreplaceable, which makes documentation and appraisal more rather than less important.

Add them promptly.

General information about insurance concepts, not insurance or appraisal advice. Sublimits, scheduling terms and conditions vary by policy and insurer. Read your own policy and consult a licensed agent.