May 28, 2010
Write it Down
Once you’ve made a purchase – whether it’s a diamond or color gemstone, you should think about protecting it against loss. There is insurance available – just like you insure your furniture or car. But, you need some documentation before handing over the premium.
This documentation has been collectively called an appraisal. There are some technical differences to the title of this document, depending on who sold the item to you and who’s writing the document. But let’s discuss why you need this first.
The description and value of your item, let’s say a diamond ring, is your assurance that first, the ring is yours, and second, exactly what kind and quality of diamond ring you own. The value is what you would have to pay to replace it – sometimes the same amount as the price you paid, but not always.
You deserve a complete description of your ring, even if you don’t intend to insure it. If you have a loss, such as a burglary, you have a record of the ring being yours! If you have a picture, it’s even better. If the description is thorough, as it would be on a professional appraisal, it will contain identifying information that could help prove it’s yours when it’s found. That’s the best.
Sales receipts are usually vague and rarely include a photograph of the item. With your next fine jewelry purchase, ask the jeweler to provide a document with a full description of the item which is suitable for insurance. This is called a Statement of Replacement Cost. (This is not an appraisal when written by the jeweler who made the sale.) The information should describe the identity, measurements, weight, and quality of any gemstones as well as the metal and design of the mounting. This document should be on the jeweler’s letterhead and, it should be signed! Have a great holiday weekend…Dii
