Jewelers Block Insurance
The jewelry business is different than most in a few ways. Although the actual size of the property and merchandise are typically small, the value is extremely high. This makes the industry susceptible to excessive loss in many different scenarios. In order to provide coverage for loss or damage to jewelry in stock at your jewelry retailer, wholesaler, manufacturer or pawnbroker business, you should get jewelers block insurance.
Jewelers block insurance is not something that any jewelry business should be without if they want a strong risk management strategy. Let Clockwork Insurance help you find the customized policy for your company’s unique, localized needs.
Call us today to get your free quote!
What Is Jewelers Block Insurance?
Jewelers blocks insurance protects against physical loss or damage to precious and semiprecious stones, jewels, jewelry, metals and other property. This also includes the property of others entrusted to the insured or property of an insured entrusted to others.
What Does Jewelers Block Insurance Cover?
Jewelers block insurance covers the following:
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Property at the named insured’s premises
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Property in safe deposit vaults of banks, trust companies or safe deposit companies
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Property at the premises of dealers, processors or similar bailees in the jewelry business
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Property in transit. Separate limits of insurance can be entered for the following:
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Show windows at the insured’s premises, regardless if the business is open or closed
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Money
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Furniture, fixtures and office supplies
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Machinery, tools and fittings
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Patterns, dies, molds and models
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Improvements and betterments
To provide complete commercial coverage for jewelers block clients, additional coverage options are necessary, such as general liability, commercial property, commercial umbrella, and workers’ compensation.
How Do I Get the Appropriate Jewelers Block Coverage?
Getting the right jewelers block plan requires information about the insured’s employees, loss of information for the three most recent years (whether insured or not) and information about the bookkeeping systems used. Itemized limits must be provided for the following:
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Stock, including the property of others
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Stock in transit by registered mail
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Stock in transit by armored vehicles
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Stock in transit by merchant parcel delivery services
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Stock in transit by all other forms of transportation that the coverage form insures
Most proposals specify that the limits selected must be at least 80% of the average inventory values at each location. There are additional coverages that can be included as well, given further information is provided.
How Do I Apply for Jewelers Block Insurance?
Jewelers block insurance coverage requires submitting a complete, detailed proposal that becomes part of the policy. It is the equivalent of applications used with other coverage forms and policies, but it requires different information than those other applications.
The proposal is very detailed. It requires complete information about the members of the firm; officers of the corporation; the number of locations to be insured, including details about the number of locations open to the public (and those that are not); and whether the insured shares the premises with others.
How Does Jewelers Block Insurance Value Property?
Covered property is valued at the lowest of the following at the time of loss or damage:
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The property’s actual cash value
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The reasonable costs to restore the property to the condition it was in just before the loss occurred
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The cost to replace the property with similar property
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The lowest value the insured had on the property in its stock books, stock papers, inventories or lists at the time of loss or damage
Keep in mind, while there are many coverage options available within the standard jewelers block plan, there are many exclusions on coverage as well. Speaking to an experienced broker at Clockwork Insurance will help you find the policy that best suits your business.
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