subject: Three Reasons She Experienced a Loss [print this page] Three Reasons She Experienced a Loss Three Reasons She Experienced a Loss
I often meet people who share amazing stories that helps reiterate how important it is that I provide a home inventory service. When attending a luncheon, a very casual "And what do you do?" conversation with a stranger turned into a serious discussion -and quite educational for the others at the table. When learning about my company, the woman I was speaking with stated, "I wish I knew you two years ago!" Then she went on to explain why.
She was burglarized, and experienced a huge financial loss. There are three reasons for her loss: the inability to remember, failure to understand her insurance policy and outdated jewelry appraisals.
First, she explained that she was unable to remember everything that was missing/stolen. She had purchased her jewelry over many, many years as well as having received many pieces as gifts from her husband - and she never created an inventory.
Second, she didn't realize that there is a jewelry limit on most insurance policies (including). Her policy's limitwas $1000, which means that the most she received on jewelry not covered on a rider was $1000. Since many of her bracelets and necklaces cost between $250 and $400, it took just a few items for her to max out her limit.
Third, the value of her gold jewelry that WAS appraised had increased by over 50% sincethe last appraisal years ago. Her insurance company paid her the amount listed on the certified appraisals. So, what does that mean? The price of gold had been climbing for quite some time, and her appraised value was less than 1/2 of what herjewelry was worth. Therefore, her insurance claim provided less than 1/2 of what she needed to replace it, resultingin either a huge out-of-pocket expense or own only half of the pieces of jewelry she used to own.
The Insurance Institute of America recommends having your jewelry appraisals updated every two years. Though this seems to be quite often, it's worth the small expense when you consider what you face to lose if the value of your jewelry increases a remarkable amount. When is the last time you had yours appraised? It's worth the time and money to do this.You'll be happy you did if you experience a burglary, fire or natural disaster.
Remember, the responsibility to prove ownership and value is on you, the policyholder.
Cindy Hartman is Co-Owner of Hartman Inventory Systems, a complete turnkey business package to start your own personal property (home) inventory business. Learn from her years of experience to reduce the start-up and trial and error issues faced when starting a business on your own. Visit her website to learn more about this growing industry and how you can receive the assistance to help you achieve success.http://www.HartmanInventorySystems.com
Cindy is also a freelance writer, covering topics of business ownership, entrepreneurship, networking, marketing, small business and product reviews.
