Your jewellery is precious, and is often more than just a simple accessory; it can hold sentimental value, and family history and can also be an investment - therefore it's crucial that it is correctly and professionally valued.
The importance of getting your jewellery valued
Having an up-to-date valuation of your jewellery collection is an important step in understanding the true worth of your treasured pieces. Perhaps you are looking to sell your jewellery, to get your jewellery collection insured or maybe a jewellery appraisal is necessary due to probate or a family division.
Getting your jewellery valued can ensure adequate coverage in case of loss, damage or theft. Unfortunately, jewellery is often undervalued on insurance policies, so having a professional valuation can help to ensure that you are properly compensated in the event of a claim.
Do I need to get my jewellery valued?
It is essential to understand that if you suffer the misfortune of losing your jewellery and you haven't had it valued, then you may not be able to get a suitable replacement. You may find that due to the lack of a detailed jewellery valuation report, your items of jewellery are not fully insured which could result in you not getting a like-for-like replacement or a piece of equal value.
While an item of jewellery might be listed on a household insurance policy, there is no guarantee that you will be able to convince the loss adjustors of its existence or true value.
Regular jewellery valuations also help to prevent underinsurance of your treasured jewellery pieces by adjusting for increasing inflation and fluctuations in exchange rates and precious metal prices.
Whilst most jewellery purchase receipts will be sufficient for insurance claims, a professional jewellery valuation may be required if the jewellery was purchased at a discount, at a sale or on a special offer. It is also important to note that if you have purchased jewellery outside of the UK, then the replacement value may differ from similar jewellery bought in the UK.
Determine the type of valuation that you need
Each type of jewellery valuation has a specific purpose, if you need clarification on which type of valuation you require we would be happy to help you.
Jewellery Valuation for Insurance
The majority of valuations are undertaken for insurance replacements - that is finding out what a similar item will cost to replace in the unfortunate event of any loss or damage. If your jewellery is lost or stolen, then any claim with an insurance company will be simplified and expedited by having a properly conducted jewellery valuation.
It is also worth noting that regular jewellery valuations help ensure that your jewellery collections are not over or under-insured - so you can be assured that you will receive a similar replacement, and are not overpaying on your insurance premium.
You may want to consider using an established jewellery insurance specialist or an insurance company that provides specific jewellery insurance. This is especially important if you would like your prized jewellery to be covered when you are out and about or even abroad.
Probate Valuation for Jewellery
Upon the death of the owner of the jewellery, a valuation for probate purposes may be required to be submitted to legal representatives who are looking after said person's estate. The values for probate valuations are based on an open market assessment of their worth at the time of death and usually represent lower values than for an insurance valuation.
Probate valuations help to ensure that you won't overpay your taxes and that HM Revenue and Customs is correctly informed of the value of the estate
Sale or Purchase Valuation
When someone wishes to sell an item of jewellery to an individual through a private sale they may wish to know what is the right price for them to charge for it - this would be done by conducting a Private Sale Valuation.
Family Division Valuation
A family division valuation will determine your assets' true value in the case of a divorce, allowing them to be properly divided between the two parties.
Asian Jewellery Valuations
Many within the Asian community have amassed a sizeable jewellery collection, which has often been passed down through generations. The breadth, scope and intricacy of Asian jewellery are considerable and often require a specialist with the relevant knowledge and experience to conduct a jewellery valuation. Minar Jewellers has over thirty years of experience within the Asian jewellery industry, and our director, Pravin Pattni, became the first non-white Chairman of the National Association of Jewellers.
Choosing a reputable valuer
Ensuring you have a professional jewellery valuation, from a registered valuer is paramount. Two main organizations train, educate and support jewellery valuers in the UK - the Institute of Registered Valuers (IRV) and the Jewellery Valuers Association (JVA)
By employing the services of a valuer who is a member of one of these organizations, you will be ensuring a high level of professionalism along with a wealth of knowledge and experience.
To be a member of the JVA or IRV a valuer is required to have at least 5 years of experience in the jewellery industry, and also to hold the recognised diamond and gemstone grading and assessment qualifications.
Not only is the valuer at Minar Jewellers a member of the previously mentioned organizations, but they also follow the best practice ‘Principles of Good Practice for Valuers’ set out by the National Association of Jewellers (NAJ).
What to expect during the valuation appointment
Once your jewellery valuation at Minar Jewellers has been confirmed, you will be given an appointment and asked to bring your jewellery into our London showroom.
Jewellery Valuation London
During that initial appointment, a qualified member of staff will perform a valuation check-in where each piece in your jewellery collection is checked and catalogued (in your presence) with a number and description. This acts as a record and receipt of the jewellery brought in to be valued.
Once the jewellery valuation check-in has been completed we will pass the jewellery collection onto our professional valuer to conduct the appraisal. If this happens to be on a different day then the jewellery is stored in one of our high-security safes until the valuation is carried out, and then again until the jewellery is collected by its owner.
It is important that your valuer carefully and accurately appraises your jewellery, therefore jewellery appraisals can be time-consuming, especially if there is a large number of pieces in your collection. An expectation of timing should be given before the appointment, and you can always ask when booking for an estimated time.
Understanding the valuation report
During the valuation the valuer will be scrutinising each aspect of every item in the collection - identifying, measuring, weighing, assessing and photographing each piece to ensure a thorough and detailed valuation report.
Your valuation report should start with a dated and signed ‘letter of transmittal’ from the valuer who undertook the appraisal. The schedule section of the report will then look at each item of jewellery in detail including a short description, any relevant weights or dimensions, any diamond (eg: cut, colour, clarity, carat weight) or gemstone details, any hallmark present, any certification information, a clear and well-lit photo and of course the value of each item.
Next, the ‘appraiser’s declaration’ which is signed and dated provides the total amount valued and confirms that the valuer has personally examined and appraised the jewellery listed. An appendix will list any diamond or gemstone certificates. Finally, the notes section will go into detail and explain how the jewellery was appraised
How much does a jewellery valuation cost?
There are cheap or even free online jewellery valuations available online - however we would advise against using these for your treasured jewellery collections as they do not provide accurate results and they don't always meet the required standard.
Without having the item of jewellery in front of them, a valuer is unable to use their intimate knowledge of the subject, experience and specialist equipment. The grading of diamonds (which is required to ascertain a correct value) requires a minimum of 10x magnification, jewellery pieces and gemstones cannot be measured, tested or verified and any laser inscriptions cannot be confirmed. A photograph, in this case, is no substitute for the real thing. Article 8 of the ‘NAJ principles of Best Practice for Valuers’ indicates that, “The valuer should only value items that they have physically examined at the time the valuation is completed.”
With an increasing number of online valuations producing unreliable and potentially inaccurate results, the danger is that your insurance premium may go up, or the insurance company will not accept it as a valid valuation.
As it is their livelihood, jewellers and registered valuers who provide an expert valuation service must charge for their expertise, time and use of their specialist equipment and facilities. The exact fees will depend on the valuer's knowledge and experience, the purpose of the valuation and also the nature and complexity of the work involved.
How often should I get my jewellery valued?
Insurance companies may specify the frequency with that they require your jewellery to be valued. As a minimum, we would suggest having your jewellery appraised every 3-5 years, as there can often be changes to its value because of inflation, increases in precious metal prices and volatility in exchange rates.
In conclusion, having your jewellery appraised is an important step in gaining clarity on its value and ensuring that it is correctly insured. Professional jewellery valuers, who are members of professional organizations in the UK - such as the Institute of Registered Valuers (IRV) and the Jewellery Valuers Association (JVA) can provide a detailed and accurate valuation, which is more likely to be accepted by insurance companies. While online valuations may offer a quick and easy option, they do not follow the best practice ‘Principles of Good Practice for Valuers’ set out by the National Association of Jewellers (NAJ) It is important to research different options and choose a valuer that you trust and feel comfortable with.
If you have any questions or would like to make an appointment for a jewellery valuation please do get in touch.