The holiday season is a time for joy, generosity, and exchanging thoughtful gifts with loved ones. Whether it’s a sparkling diamond necklace, a luxury watch, a stunning piece of artwork, or a custom set of golf clubs, these cherished items are often valuable on both a sentimental standpoint as well as a financial standpoint. But what happens if the unthinkable occurs and your gift is lost, stolen, or destroyed? Without the proper insurance coverage, these gifts could become costly losses.
We want to help you understand why insuring high-value holiday gifts is a smart and necessary step to protect your investments and your peace of mind.
1. Standard Homeowners Insurance May Not Be Enough
While homeowners insurance typically covers personal belongings, there are limits to what it will pay for certain categories of high-value items. Jewelry, watches, firearms, and collectibles often fall under these limited categories, meaning you could be underinsured if something happens to your holiday treasures.
2. Risks Are Greater During the Holidays
The holiday season brings a higher risk of theft and mysterious disappearance. Imagine losing your new ring or necklace during holiday festivities. This would be devastating. Insurance can mitigate the financial burden of such incidents.
3. Specialized Coverage Offers Comprehensive Protection
For items like jewelry, artwork, firearms, and golf clubs, adding a scheduled personal property endorsement or a standalone personal articles floater policy is often necessary. These specialized policies cover the appraised value of the item and may even extend to risks not covered under a standard policy, such as accidental loss or international travel.
4. Appraisals and Documentation: Key to Your Coverage
To ensure proper coverage, items like fine art and jewelry should be professionally appraised. Keep receipts, photos, and other documentation as proof of ownership and value. This information will streamline the claims process and help you recover the full value of your items if needed.
5. It’s More Affordable Than You Think
Insuring high-value items is often more affordable than many people assume. For example, a scheduled jewelry policy could cost as little as 1-2% of the item’s value annually. For the peace of mind it offers, it’s a small price to pay.
How to Get Started
If you’ve received or gifted high-value items this holiday season, now is the time to review your insurance coverage. Here’s how:
- Take Inventory: List all high-value items, including descriptions and approximate values.
- Get Appraisals: Obtain professional appraisals for unique or particularly expensive items.
- Consult with our Personal Insurance Team: Work with our insurance professionals to identify coverage limitations and secure the right policies for your needs.
The joy of giving and receiving holiday gifts should never be overshadowed by worries about loss or damage. Protect your investments and your peace of mind by ensuring your gifts are covered with the right insurance policy.
Let’s chat today to ensure your holiday treasures are secure for years to come.
