Underinsurance fears as brokers don't know how much their own jewellery is worth

An overwhelming majority of brokers at this year’s Biba 2014 conference did not realise the value of their own jewellery and watches, which RSA said highlighted the prospect that many of their clients are likely to be underinsured too.

The insurer brought professional jewellery valuer Lynn Tones from Mappin and Webb to to the conference tell brokers how much their valuables were worth.

Tones saw 20 brokers over the course of the two-day event and said 18 of them admitted they had not known how much the value of their own possessions had risen by in recent years.

While the rise of the value of gold has been well documented, Tones said there was less awareness about other precious metals and stones.

“They all said they’d feel comfortable going back to their clients and recommending they have their jewellery valued,” Tones said.  

“Brokers aren’t jewellers and they don’t always feel comfortable telling clients how much the value has gone up by.”

Tones recommended that jewellery is revalued every two to three years.

Mark Coffey, managing director of RSA’s private client division, said: “There’s a big element of underinsurance in high net worth, but this was a real eye opener.

“Valuation avoids underinsurance and that’s where a broker can add value.”