Important Reasons To Update Your Jewellery Valuations
Keeping your jewellery valuations up-to-date is always essential. With significant fluctuations in the dollar at the moment, and a host of other reasons, now is more important than ever to ensure you are fully protected should anything happen to your most treasured and valuable items. Read on to hear our top tips on ensuring you are making the right call on your jewellery valuations.
Update your jewellery valuations every three years
It is recommended that you update your jewellery valuations for insurance purposes every three years, and sometimes every two years for larger and more valuable pieces. Your insurance policy will hold information regarding the suggested timeframe to keep your policy current.
Currency values can affect the value of your jewellery
Changes in the dollar affect the value as gemstones and Diamonds are traded in US Dollars, with the gold and platinum markets also affected. Currently, with large fluctuations in these markets, it is crucial that you have the correct value for your items.
Supply and demand of jewellery changes constantly
The supply chains of jewellery and gemstones are not consistent. Mining operations can be fruitful or cease for a time for several reasons. The amount of ‘stock’ in the marketplace affects the value of the jewellery at that time, if a replacement item may be hard to come by, the value is likely to increase. If an item is made by a specific jewellery house, it will be valued as such. This means that if an item is no longer produced anymore, it may be that a replacement would have to be based on a pre-owned version on the second-hand market or the newest equivalent the design house currently produce – both of which can significantly affect the correct insurance value for the item. The supply and demand is also affected by fashions and trends. Some Diamond shapes may quickly become more popular if they are worn by a celebrity or royal, increasing demand and therefore the price, equally others may fall out of favour making them less expensive to replace.
Lab-grown diamonds can depreciate rapidly
As we have already seen over the past two years, lab-grown Diamonds are prone to significant and fast devaluing and are not affected by the same supply changes as mentioned above. As technology improves, the price of producing synthetic lab-grown Diamonds decreases and as the process becomes more efficient, the factory-made alternative to natural Diamonds becomes even more readily available and can flood the market. So, it is recommended to keep valuations of lab-grown Diamonds updated more frequently to ensure you are not overpaying premiums
Re-valuations are important for assessing jewellery condition
Whilst the jewellery is being revalued, a professional and accredited valuer will also be able to assess any wear and tear and the general condition of the jewellery. Excessive wear to a piece can in some cases void an insurance claim, so it is important to get this checked when you book your jewellery appraisal.
In addition to this, the valuer will also assess any changes that have been made to the piece since the last valuation and any impact it will have on the value, for example if the stone has been remounted or the ring size changed. Any change in condition or value will affect your policy, so it is another important reason to have your jewellery re-appraised.
If it has been a while since your last jewellery valuation, or you are concerned about the recent market changes and economic conditions, our IRV accredited valuers and Hatton Jewels are here to help. Simply visit our jewellery valuations page and book an appointment online. If you are unable to visit our showroom for an appointment, we are able to offer completely remote insurance valuation through our postal service, which is a quick and easy way to update your jewellery valuations and ensure your items are fully covered by your insurance.