What is a Valuation?
A valuation is when a full detailed description and dollar value is placed on your jewellery. There are many different reasons to seek a valuation for your jewellery and be sure to state what your reason is (such as insurance replacement). Valuations can only be used for that purpose, which will be described on your valuation document.
Why should you get a valuation?
There are many different reasons to seek a valuation. It could protect the value of your jewellery in the event of fire, theft or loss or ascertain a fair price for a private sale.
Why get a valuation with JVS?
JVS valuers provide all types of valuations and you can be sure that any work undertaken by a JVS member will be recognised by all insurance companies under the Insurance Council.
You can be sure you can trust any valuation you receive from a JVS member.
How much are valuations?
The cost of valuing can vary on each piece, depending on how complex, research etc. is required. Call your local jeweller or JVS member to give you a quote.
What are the different types of valuations?
The common types of jewellery valuations are;
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Insurance Replacement
Insurance Replacement Valuations
An insurance replacement valuation is used for jewellery that needs to be itemised on you insurance policy, generally because it’s over a certain value.
It’s standard practice for insurance companies to automatically cover all of your jewellery up to the value of $1000, although not all policies do this. If this is the case with your insurance company, anything over that value should be itemised on your policy to ensure you’re fully covered in the event of loss.
An insurance replacement valuation should have the following detail:
- Name of valuation recipient.
- Reference number.
- Date of valuation.
- A clear photograph of the item.
- Total weight (grams).
- Condition of the item.
- A full description of the mounting with the metals correctly identified.
- A full description of all stones, with millimeter sizes and weights (carats) correctly identified, measured and estimated.
- An estimated retail value.
- Economic factors: Metal prices, exchange rates at the time of valuation.
- The full name, qualifications and signature of the valuer.
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Inventory
It is advisable to keep a list of all your jewellery, even those items under the threshold value to which you need to itemise on your policy, as it will make it a lot easier to settle a claim if you suffer a loss. Generally items below $2000 value will be automatically covered in your policy. Collectively these items can be worth a lot of money. Your JVS can prepare an inventory list with a brief description and a photograph.
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After Loss
If you have lost a piece of jewellery but you don’t have a valuation, you may need an after loss valuation. This is required when your insurance company agrees to pay out after a loss, but your jewellery was not itemised on your policy. Your insurance company may only pay up to an agreed price per item as per the conditions of your policy.
An after loss valuation is an estimate of the value of item (or items) lost based on information you provide the valuer. This could include receipts you have for the item, time and place it was purchased and a photograph if possible (even if you’re wearing it).
You should also provide as much details as you can remember which could include weight, size and stone detail. You will also need to provide proof of the item if it was a gift.
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Probate
A probate valuation is provided for jewellery usually left in a deceased estate, and is used to determine the value for allocation purposes as it is stated in the will.
A probate valuation does not require as detailed a description as in an insurance valuation.
The values are usually reflective of what it would sell for in a private sale or auction, which is generally lower than the replacement value.
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Sale Between Parties
You may need this type of valuation if you are buying or selling a piece of jewellery in a private sale.
They are often used to provide the buyer and seller with a fair description and price of the item. Usually this is less than a retail replacement value and would be close to the price you could expect to pay for a second-hand piece from a store.