A friend''s ering was stolen... insurance help!

[RockDoc]

RocDoc-
Can you give us some examples of who offers "all risk - stated value type policy"
I know my Chubb policy is a stated value type policy. Does anyone else offer this kind of policy?

Thanks!

Scintillating...

____________________________________________


I have heard that some other companies offer stated value type policies.

I heard State Farm has one, and another company Atlantic Insurance. I have NOT seen any policies that are stated or agreed value type policies from either company. I also hear Fireman''s Fund has one too.

I don''t think any have the Chubb 150% clause however. I consider that to be a MAJOR plus in their policy.

I think it would be great if replacement policies had this option too, but to my knowledge they do not.

Rockdoc

 

[RockDoc]

Date: 10/27/2006 8:49:37 PM
Author: Dee*Jay
I hate to keep plugging my insurance company on these threads, but here is my story...

About 7 years ago I lost my engagement ring while we were moving (one of those ''putting the ring on the side of the sink while cleaning the bathroom and realizing several days later that it''s gone situations). I called up my insurance company, which is Travelers, and told them what happened. They *suggested* to me that I go to [the following list of jewlers] and have my ring replaced. My response to that was, ''NOT ONE CHANCE IN HELL.'' I was paying a premium for $X insured value, and according to my policy I was ENTITLED to a cash out value in the amount of my insured amount (PLUS sales tax, thank you very much!). So, I sweetly said, ''I''ll take a check, thank you.'' By the end of the week there was a check in my mailbox. Let me also say, they paid me out at a HIGHER amount than my ring was insured for due to an ''escalation clause'' in my policy. (I found the ring in a suitcase the next day and sent the check back, but that''s beside the point.)

The above DOES happen in some cases.

Essentially a lot depends on the amount of the claim. If it is under (just an example, this figure changes from company to company) $ 8000.00 many companies internally call this a "nuisance claim". So if you''re aggressive or assertive, SOME ADJUSTERS back down and just pay you rather than argue with you.

But if it is a high value claim, you can certain they will scrutinize it a lot more intently.

Then, add the personality factor. That is how well you get along with the adjuster. Some adjusters are very reasonable to deal with, and other are just sourpusses, that will put the whole claims process into misery status for you.
Human nature is that you usually get more with honey than vinegar in negotiating with them. With some adjusters, you could make the above demand, and they''d fight you alll the way. Others would back down and just pay the claim, especially if it is a small one.

Then there is a three way internal situation with insurance companies too. It is a positon ''fight'' between the sales department who wants to selll more policy coverages, the underwriting department, who''s goal it is to reduce the company''s risk factors, and the claims department, who generally want to save the company money when it is claim time.

In your claim with Travelers, if you had several or many policies, they will be a lot more attentive to pleasing you than if you had only a renter''s apartment coverage.

Another factor that affects this is how "prominent" your agent''s position is with the company. If the agent is a really good one, he calls the sales department and tells them he wants the claim paid, and many times that has some bearing on how much they will pay out too.

I like when an agent goes to bat for the insured when it''s necessary.

Be aware that the above is just general experiences that I''ve had and seen other have. It does not mean the insurance company will do the same for everyone equally in a claim scenario.

Rockdoc

 

[diamondseeker2006]

Date: 10/27/2006 9:19:00 PM
Author: RockDoc
Okay. So are your saying that if I got an excellent price for my diamond and insure it for the exact purchase price, that if it goes up in value over the next few years and the insurance company does not require an updated appraisal, they will allow me MORE than the value I have it insured for because they have agreed to replace it with a like stone? I think we need to be perfectly clear on this because you also said they''d assume the price was inflated. What if it wasn''t?

______________________

I think you''re misunderstanding me.

In a replacement policy, the only meaning the value has is to set the maximum limit of what they would have to pay out to settle the claim.

If you insure it for the amount that is reasonably close to THEIR cost to replace it, then that is the most efficient way of insuring it that is also cost effective. However, this does require you being attentive to increase in prices... i.e. having the amount you insured it for updated.

If the insurance policy only pays THEIR cost to replace something insuring it in excess of that amount is just throwing your premium dollars down the hopper.

Insurance companies have files on what it costs to replace something based on very reliable statistics. So the underwriter knows what it will cost them. If the appraisal submitted is higher, it still gets approved as they get higher premiums. when within certain limits they know what their replacement cost will be in the event of a loss.

The ONLY logical ''benefit'' of insuring an for more, is if you don''t have the value updated, and the cost increases the limit of what they are obligated to pay. It does not mean they will automatically allow you more.

Rockdoc

Thank you very much for your reply! I have always covered items for the amount I paid and not an inflated amount. But with my new ring, I new that regular jewelry stores would charge more than I paid, so we used an insurance valuation that was above the amount we paid which would cover it for awhile without revising the amount. But I might check the premium for Chubb since it seems superior.

 

[denverappraiser]

An insurance policy is a contract. You agree to some things and they agree to some things. They biggies are that you agree to pay them and they agree to make you whole in the case of a covered loss. Like most things, the devil is in the details.

What does it take to make you whole?

It''s written in the policy. In the usual policy, this means that they are required to replace the piece with another of ‘like kind and quality’. They will generally hire a 3rd party jeweler to supply the goods although some are actually providing the merchandise through their own subsidiries. Insurance companies are pretty big jewelry customers and they can drive a fairly hard bargain. It would be irresponsible to their stockholders to pay more than is necessary and they don’t want to argue about each and every price so they shop fairly aggressively and in advance. When a policyholder makes a claim, they send you to a jeweler that they’ve already made a deal with.

When you apply for a policy, the company asks for an appraisal that describes the property being insured. This description on this appraisal is what is used to decide what it will cost to replace the item because this description is the definition of ‘like kind and quality’. That’s why they asked for it and why it’s so important to provide complete and accurate documentation.

The bottom line number on the policy is the company’s maximum liability, not the expected liability. If they can replace for $10,000 then the payout for a total loss will be $10,000. It doesn’t matter if you originally provided them a value of $30,000 and it does not entitle you to a refund of premiums because YOU set this limit, not them. That’s why they want you to supply the appraisal instead of doing it themselves. It''s also why they have no problem accepting inflated values and weak descriptions. It’s not the insurance companies that should be upset about sloppy appraisals, it’s the consumers. A policy written on a properly written appraisal is less expensive, more likely to result in an acceptable replacement if the occasion requires and worth a higher cash payout compared to your premium than one based on a poorly considered appraisal. Customers seeking maximum benefit per premium dollar are often better served by this type of policy than any other, including defined value, because the premiums are generally far less.

The fact that many companies are accustomed to seeing bad appraisal work is surely true but beside the point. Each insurance contract stands on it’s own and the appraisal or other paperwork that you submit is part of that contract.

Neil Beaty
GG(GIA) ICGA(AGS) NAJA
Professional Appraisals in Denver

 

[Dee*Jay]

Date: 10/27/2006 9:38:19 PM
Author: RockDoc

Date: 10/27/2006 8:49:37 PM

Author: Dee*Jay

I hate to keep plugging my insurance company on these threads, but here is my story...


About 7 years ago I lost my engagement ring while we were moving (one of those 'putting the ring on the side of the sink while cleaning the bathroom and realizing several days later that it's gone situations). I called up my insurance company, which is Travelers, and told them what happened. They *suggested* to me that I go to [the following list of jewlers] and have my ring replaced. My response to that was, 'NOT ONE CHANCE IN HELL.' I was paying a premium for $X insured value, and according to my policy I was ENTITLED to a cash out value in the amount of my insured amount (PLUS sales tax, thank you very much!). So, I sweetly said, 'I'll take a check, thank you.' By the end of the week there was a check in my mailbox. Let me also say, they paid me out at a HIGHER amount than my ring was insured for due to an 'escalation clause' in my policy. (I found the ring in a suitcase the next day and sent the check back, but that's beside the point.)

The above DOES happen in some cases.


Essentially a lot depends on the amount of the claim. If it is under (just an example, this figure changes from company to company) $ 8000.00 many companies internally call this a 'nuisance claim'. So if you're aggressive or assertive, SOME ADJUSTERS back down and just pay you rather than argue with you.


But if it is a high value claim, you can certain they will scrutinize it a lot more intently.


Then, add the personality factor. That is how well you get along with the adjuster. Some adjusters are very reasonable to deal with, and other are just sourpusses, that will put the whole claims process into misery status for you.

Human nature is that you usually get more with honey than vinegar in negotiating with them. With some adjusters, you could make the above demand, and they'd fight you alll the way. Others would back down and just pay the claim, especially if it is a small one.


Then there is a three way internal situation with insurance companies too. It is a positon 'fight' between the sales department who wants to selll more policy coverages, the underwriting department, who's goal it is to reduce the company's risk factors, and the claims department, who generally want to save the company money when it is claim time.


In your claim with Travelers, if you had several or many policies, they will be a lot more attentive to pleasing you than if you had only a renter's apartment coverage.


Another factor that affects this is how 'prominent' your agent's position is with the company. If the agent is a really good one, he calls the sales department and tells them he wants the claim paid, and many times that has some bearing on how much they will pay out too.


I like when an agent goes to bat for the insured when it's necessary.


Be aware that the above is just general experiences that I've had and seen other have. It does not mean the insurance company will do the same for everyone equally in a claim scenario.


Rockdoc

I think DockDoc probably hit the nail on the head (as usual) about why my claim was easy. Several of the factors he mentions came into play with my claim.

- It was indeed just under $8K at the time. (Oh, how things have changed over those few years!!!)

- I wasn't *exactly* aggressive or assertive (LOL!) but I was FIRM. (And yes, I'm sure the adjuster could figure out that I would indeed be a bit PITA to deal with if I had to!) I had read my policy and had a good understanding of what I was entitled to too. I do have to say though, that I had developed a great rapport with the person even in the short time on the phone before I got to the "NOT ONE CHANCE IN HELL" statement. I had her laughting so hard so had to put me on hold to catch her breath, so that probably helped too.

- I had been a long term customer at that time with four policies (homeowners, auto, personal umbrella, and personal articles) and had never made any other sort of claim.

Regardless, the fact that I had a check in my hand in a number of days with virtually not hassle whatsoever made me a customer for life!

 

[mrssalvo]

DJ, I don't know what policy was in place when you had your claim years ago but based on Travelers website and I also had it confirmed with an agent Travelers will cash out an insured jewelry item that is on their separate value policy. here's what it says on their website:

Loss Settlement
Since items of this nature vary so widely, losses are settled differently, depending on the type of property insured. For jewelry and fine arts, in the case of a total loss to a scheduled, appraised item, you are reimbursed for the agreed value shown on your policy.


I'll be submitted a very detailed appraisal also so my bases are covered but it was my understanding that they will just write a check, which most homeowners policy's do not do. I'll definitely call again and double check all of this on monday.

 

[RockDoc]

Date: 10/28/2006 11:10:02 AM
Author: mrssalvo
DJ, I don''t know what policy was in place when you had your claim years ago but based on Travelers website and I also had it confirmed with an agent Travelers will cash out an insured jewelry item that is on their separate value policy. here''s what it says on their website:

Loss Settlement
Since items of this nature vary so widely, losses are settled differently, depending on the type of property insured. For jewelry and fine arts, in the case of a total loss to a scheduled, appraised item, you are reimbursed for the agreed value shown on your policy.


I''ll be submitted a very detailed appraisal also so my bases are covered but it was my understanding that they will just write a check, which most homeowners policy''s do not do. I''ll definitely call again and double check all of this on monday.

Hi Mrs. S.

Better to check what is written into your policy than looking at a website.

I know Allstate has several different policy types for jewelry, and could be the case with your company. Each of these policy type vary, so if your company offers more than just one insurance product type.


Some insurance companies do offer a cash payment even though it is a replacement policy. The "key" here is to find out in which market the replacement will be made . i.e. at a place that you are able to choose, or a place that is the insurance company''s source for replacing items.

Rockdoc

 

[mrssalvo]

thanks Rockdoc, I am definitely going to call and double check all of this on monday to be 100% sure. Hopefully the cash out it option is true b/c Chubb does not serve my state at this time and I have no other option than JM or my homeowners and really want the cash out. anyway, thanks so much..this thread has been so helpful for me...

 

[RockDoc]

Date: 10/28/2006 4:27:22 PM
Author: mrssalvo
thanks Rockdoc, I am definitely going to call and double check all of this on monday to be 100% sure. Hopefully the cash out it option is true b/c Chubb does not serve my state at this time and I have no other option than JM or my homeowners and really want the cash out. anyway, thanks so much..this thread has been so helpful for me...

Are you in Lousisana?

That is the only state that I know of the many of the insurance companies won''t write new coverage at the moment. Otherwise, if you''re located somewhere else, I''ll find you someone, if you need one.

Rockdoc

 

[mrssalvo]

Date: 10/28/2006 6:44:28 PM
Author: RockDoc

Date: 10/28/2006 4:27:22 PM

Author: mrssalvo

thanks Rockdoc, I am definitely going to call and double check all of this on monday to be 100% sure. Hopefully the cash out it option is true b/c Chubb does not serve my state at this time and I have no other option than JM or my homeowners and really want the cash out. anyway, thanks so much..this thread has been so helpful for me...

Are you in Lousisana?


That is the only state that I know of the many of the insurance companies won''t write new coverage at the moment. Otherwise, if you''re located somewhere else, I''ll find you someone, if you need one.


Rockdoc

I''m in Tennessee. I spoke with Bill Castro about a month ago and he said they couldn''t write a policy here yet. That would be wonderful news if that''s changed because I''m going to need to add my new ring very soon.

 

[diamondseeker2006]

Is there some reason people are contacting Bill Castro as opposed to a Chubb agent in their own state?

 

[mrssalvo]

DS- I''ve heard the responses people get on whether or not Chubb will write a stand alone jewelry policy varies according to who you talk too. Rockdoc has said to contact Bill and he''ll get it done so that''s what I did.

 

[RockDoc]

Mrs. Salvo

Give me a call next week, and I'll find someone for you.


Many states have changed their licensing regulations. Many states are now requiring the agency as well as the agent to be licensed. There are some states where that is still in progress for those agents that have multi-state licenses. Previously, they only had to get one license, now in the states that are requiring the agent and the agency to be licensed, that has to be done to be able to write policies. So some agents, temporarily can't write coverage in those states where the license must be applied for or is pending. That is most likely the case with Bill Castro and TN.

I pretty much know who is able to write where. Im 95% sure I know another agent who is licensed currently TN.


Rockdoc

 

[mrssalvo]

Date: 10/29/2006 1:58:37 AM
Author: RockDoc
Mrs. Salvo


Give me a call next week, and I''ll find someone for you.



Many states have changed their licensing regulations. Many states are now requiring the agency as well as the agent to be licensed. There are some states where that is still in progress for those agents that have multi-state licenses. Previously, they only had to get one license, now in the states that are requiring the agent and the agency to be licensed, that has to be done to be able to write policies. So some agents, temporarily can''t write coverage in those states where the license must be applied for or is pending. That is most likely the case with Bill Castro and TN.


I pretty much know who is able to write where. Im 95% sure I know another agent who is licensed currently TN.



Rockdoc

thanks Rockdoc, I will. what you described is exactly why Bill told me they couldn''t write coverage here for now.

 

[claptik]

I don''t want to hijack this thread but has anyone had any experience with Chubb and repairs? I know its been stated that in the case of a loss they will write a check for the full itemized value, but if repars need to be done, will they allow you to work with your jelwer of choice like Jewlers Mutual or will you be limited to their list. Thanks for the help.

 

[RockDoc]

Date: 10/28/2006 10:32:45 PM
Author: mrssalvo

Date: 10/28/2006 6:44:28 PM
Author: RockDoc

Date: 10/28/2006 4:27:22 PM

Author: mrssalvo

thanks Rockdoc, I am definitely going to call and double check all of this on monday to be 100% sure. Hopefully the cash out it option is true b/c Chubb does not serve my state at this time and I have no other option than JM or my homeowners and really want the cash out. anyway, thanks so much..this thread has been so helpful for me...

Are you in Lousisana?


That is the only state that I know of the many of the insurance companies won''t write new coverage at the moment. Otherwise, if you''re located somewhere else, I''ll find you someone, if you need one.


Rockdoc

I''m in Tennessee. I spoke with Bill Castro about a month ago and he said they couldn''t write a policy here yet. That would be wonderful news if that''s changed because I''m going to need to add my new ring very soon.

Update for you Mrs S


Spoke to another Chubb agent and his licenses for TN are all "up to snuff" so he can get you the coverage.

I should hear the rate for the Nashville area later this morning, and I''ll update you on it, and if you want it I can email you the application.

Hope that works for you!

Rockdoc

 

[mrssalvo]

that would be great rockdoc, I just sent you and email