Gold just crossed $5,200 an ounce.
In January 2024, it was around $2,040. That's not a typo. Gold has gained over 150% in roughly two years, and it's not slowing down. The broader precious metals market has followed suit, with platinum and silver both posting significant gains, but gold is the one that matters most for your jewelry insurance. It's the primary metal in most fine jewelry, and it's the biggest driver of replacement cost.
If your jewelry was last appraised before this run, the number on your insurance policy doesn't reflect what it would actually cost to replace your piece today. And that gap is growing every month.
The homeowners insurance problem
Most homeowners and renters policies cap jewelry coverage at $1,000 to $2,500 per item. That's the default, and most people never change it. On top of that, standard policies typically exclude accidental loss and mysterious disappearance. So even if you think you're covered, the ceiling is probably far lower than you'd expect.
Anything above that default cap needs to be individually scheduled with your insurer, and scheduling requires a current appraisal. No appraisal, no additional coverage.
Standalone jewelry insurance vs. a policy rider
You have two main options for insuring jewelry above your homeowners cap. A rider (or endorsement) on your existing policy raises the limit on specific pieces, but a claim can affect your home insurance premiums.
A standalone jewelry policy through a specialist insurer like Jewelers Mutual generally offers broader coverage, including loss, damage, and theft while traveling. Claims on these policies typically don't impact your homeowners rates. Premiums usually run 1% to 2% of the appraised value per year.
What to do now
Check the date on your most recent appraisal. If it's older than a year, it's time to update. Bring the piece to a qualified gemologist who can evaluate it using current market data and give you a replacement value your insurer will accept.
At Sundance Jewelers, appraisals are conducted in person by our GIA-certified gemologists. First item is $85, each additional item is $45. If we did your original appraisal, we can update it remotely. Otherwise, bring it in and we'll take it from there.
To schedule, call us at (517) 337-3774, email us at bill@sundancejewelers.com or stop by the shop in East Lansing.
