Jewelers Mutual Insurance

[DNICE850]

Hi,
I recently purchased jewelry from online retailer $6637 ($7200 after NY sales tax).
JM website quoted me $169 annually for the replacement value of $8434.
I am unable to change the replacement value. Is it typical of JM to insure at a higher value or should the replacement value match the cost of the jewelry?
Please let me know your thoughts.

thank you

 

[spoogenet]

Did this quote come from an appraisal you submitted? I''d check how the appraisal valued the item.

b

 

[DNICE850]

No, I did not get an appraisal. JM gets the informaion on the ring (certification/specs) directly from the online retailer and generates a quote.

 

[Todd Gray]

Date: 2/4/2010 12:30:31 PM
Author: DNICE850
No, I did not get an appraisal. JM gets the informaion on the ring (certification/specs) directly from the online retailer and generates a quote.

Why is the value provided to JM from the online retailer different than the purchase amount? Have you contacted JM and asked whether they will adjust the estimated value based upon the sales receipt which provides the actual purchase price?

 

[WinkHPD]

Date: 2/4/2010 12:15:11 AM
Author:DNICE850
Hi,
I recently purchased jewelry from online retailer $6637 ($7200 after NY sales tax).
JM website quoted me $169 annually for the replacement value of $8434.
I am unable to change the replacement value. Is it typical of JM to insure at a higher value or should the replacement value match the cost of the jewelry?
Please let me know your thoughts.

thank you

A lot of jewelers and vendors feel they should inflate an appraisal so that you will "appreciate" what a good deal you got.

I do not agree with this as it costs you more for the insurance. If you did get a great deal that is not replaceable at the price you paid, then the appraisal should be high enough to cover a replacement of that item, but this should be discussed with you at the time of sale or at the time of doing the appraisal.

Wink

 

[ChunkyCushionLover]

Date: 2/4/2010 12:30:31 PM
Author: DNICE850
No, I did not get an appraisal. JM gets the informaion on the ring (certification/specs) directly from the online retailer and generates a quote.

I''d call them and say you want the quote based on the bill of sale and ask them how they came to their valuation.

 

[ChunkyCushionLover]

Date: 2/4/2010 1:27:49 PM
Author: Wink

Date: 2/4/2010 12:15:11 AM
Author:DNICE850
Hi,
I recently purchased jewelry from online retailer $6637 ($7200 after NY sales tax).
JM website quoted me $169 annually for the replacement value of $8434.
I am unable to change the replacement value. Is it typical of JM to insure at a higher value or should the replacement value match the cost of the jewelry?
Please let me know your thoughts.

thank you

A lot of jewelers and vendors feel they should inflate an appraisal so that you will 'appreciate' what a good deal you got.

I do not agree with this as it costs you more for the insurance. If you did get a great deal that is not replaceable at the price you paid, then the appraisal should be high enough to cover a replacement of that item, but this should be discussed with you at the time of sale or at the time of doing the appraisal.

Wink

Well said but most customers forget to tell the vendor, please print the appraisal based on the cost price not on a retail value. It does help sales to inflate the valuation and make the customer feel good about their purchase, but savvy PS shoppers should know this is phooey. However most insurance companies require an independant appraisal or a bill of sale and won't accept a vendor appraisal anyway.

 

[Todd Gray]

Our method of addressing the issue of "internet pricing" versus "brick and mortar" traditional pricing is to state both the Actual Purchase Price and Estimated Retail Value within the appraisal document... I don''t recall whether it was Marty Haske or the late Bill Lieberman (Rock Doc) who advised me to do it this way but it had something to do with avoiding "insurance fraud" created by purchasing the item for one price and insuring it for a higher value and thus knowingly attempting to defraud the insurance company... Whichever person, Marty or Bill, told me that by providing the insurance company with both the actual amount paid and the estimated retail value that it prevented the insurance company from denying the claim at a later date (?)

Food for thought, nothing more.

 

[WinkHPD]

Date: 2/4/2010 1:41:50 PM
Author: ChunkyCushionLover

Date: 2/4/2010 1:27:49 PM
Author: Wink

Date: 2/4/2010 12:15:11 AM
Author:DNICE850
Hi,
I recently purchased jewelry from online retailer $6637 ($7200 after NY sales tax).
JM website quoted me $169 annually for the replacement value of $8434.
I am unable to change the replacement value. Is it typical of JM to insure at a higher value or should the replacement value match the cost of the jewelry?
Please let me know your thoughts.

thank you

A lot of jewelers and vendors feel they should inflate an appraisal so that you will ''appreciate'' what a good deal you got.

I do not agree with this as it costs you more for the insurance. If you did get a great deal that is not replaceable at the price you paid, then the appraisal should be high enough to cover a replacement of that item, but this should be discussed with you at the time of sale or at the time of doing the appraisal.

Wink

Well said but most customers forget to tell the vendor, please print the appraisal based on the cost price not on a retail value. It does help sales to inflate the valuation and make the customer feel good about their purchase, but savvy PS shoppers should know this is phooey. However most insurance companies require an independant appraisal or a bill of sale and won''t accept a vendor appraisal anyway.

That is not the standard in Idaho, but I do not know about other areas. I have never had an insurance company not accept one of my "Evaluation for Insurance Purposes". I have been also doing insurance replacement work for at least fifteen years and providing an Evaluation has always been appreciated and accepted.

Fortunately, as you said, most Pricescopers know and understand that they inflated "Appraisals" are phooey, but it is surprising how many people will actually be disappointed with an appraisal if is it not for more than they paid.

Wink

 

[elle_chris]

What do you mean JM got it directly from the online retailier? I recently had something added to my JM policy. Bought the stone from one vendor, the setting from the other. JM requires you to fax the cost of the stone and setting together. They added up my receipts (stone and setting), and my additional premium was based on that amount. Nothing more.

I was told (and this is normal for them based on my previous experiences), that after the stone is set, to send them an appraisel and they'll adjust my policy. So far I haven't as I don't want the premium to go up on a piece I only wanted insured for setting purposes.

I've never heard of JM contacting the retailer to get the price. That sounds very strange to me.