Jewelry Floater – What it is, Cost and How to Get a Coverage

A jewelry floater is the best option if you have been looking for a way to protect your jewelry under insurance coverage. A jewelry floater provides extra insurance protection for valuable jewelry, safeguarding its financial value. This floater is most often bought with other types of insurance. These insurances include homeowners insurance and renters insurance. Generally, homeowners and renters insurance cover all your possessions, including your jewelry, but with a jewelry floater, you can increase this coverage, making it best for your jewelry collection.

Jewelry Floater - What it is, Cost and How to Get a Coverage

However, this covers the financial loss of a policyholder’s jewelry if it is stolen or damaged. While homeowners and renters insurance cover jewelry collections, a floater is a more substantial option for those with high-value jewelry possessions. This is because if the jewelry is stolen, this coverage will pay more toward the jewelry value than a home insurance policy would.

With this coverage, policyholders often obtain a formal judgment for the worth of their jewelry. Apart from these, there are several advantages to getting coverage, and this write-up includes all the information you need to know about it.

What a Jewelry Floater Cover

Just like every other floater, a jewelry floater covers quite several events. It covers a broader range of damages to a policyholder’s jewelry than home insurance would. Some of these events include:

  • Theft (both in and out of your home).
  • Accidental loss.
  • Damage to the jewelry.

Any damage relating to any of these events is covered by this insurance policy. However, while we have this, any damage due to negligence will not be covered by this floater; instead, the policyholder will have to pay out of pocket for the damages.

How Much Does It Cost?

This costs between 1% and 2% of the jewelry’s value yearly. For instance, if you have jewelry worth $12,000, a jewelry floater would cost $120 a year. Depending on the value of the jewelry, the floater cost is determined.

Should I get a Jewelry Floater?

If you have a high-value jewelry collection, getting a jewelry floater is worth getting. This is because it protects the jewelry’s value more than your home insurance would. However, in cases where you have little to no jewelry in your possession, it is better to keep them insured in your homeowners or renters insurance policy.

Is it Worth it?

There are some cases where getting this coverage may be required. As previously stated, if you own a notable number of high-value pieces of jewelry, this floater is worth getting. Most homeowners and renters insurance policies come with jewelry coverage ranging from $1500 to $2,500.

Also, your home insurance policy may limit its coverage after paying off damages after theft or loss. With this floater, you can select what and how you want your jewelry to be insured. Also, your insurance company will provide reimbursement for missing jewelry or replace it with an identical one.

Does homeowner’s or renter’s insurance cover stolen jewelry?

Homeowners’ or renters’ insurance policies cover stolen jewelry but only up to a certain limit stated in the policy. It does not pay the exert value of the jewelry; instead, it offers the same coverage as every other item in the home. For this reason, getting a floater is advised. A jewelry floater increases this coverage and pays off the value of the jewelry more than your home insurance policy would.

How to Get a Jewelry Floater

Just as with every other insurance floater, this coverage is gotten as additional coverage on your home insurance policy. To get a jewelry floater, you need to follow the below steps:

Step 1. Select the Right Homeowners or Renters Insurance Company:

If your homeowners or renters insurance provider offers this floater, you can proceed with the application steps. However, if they don’t, it is advisable to find the right provider that offers this type of coverage.

Step 2. Take the Right Introductory Course:

  • Put together an appraisal.
  • Take photographic and videographic proof of your jewelry.

Step 3. Apply

After carrying out the above steps fully, proceed with the application for coverage. During this process, you will be required to submit all necessary documentation and information concerning your jewelry collection. However, your insurance provider may request details about how and where your jewelry is stored and worn. 

Can I Get a Jewelry Floater for Jewelry I Give as a Gift?

When you give jewelry as a gift to someone, it becomes that person’s own and is covered by their jewelry policy. Giving this gift now means you no longer own it, and your jewelry floater will not cover it unless your insurance policy allows coverage for it. To keep the gift insured, you can ask your insurer about how you can make that possible.