Households are being warned to make sure they are not leaving their gold jewellery under-insured, following jumps in the price of the precious metal to record levels.
Gold has been hitting highs as investors rush into “safe haven” assets amid global market turmoil, following US President Donald Trump’s move to unveil sweeping trade tariffs across the globe.
Admiral Home Insurance is urging households to review their cover for gold jewellery and luxury watches.
Insurers tend to have limits on cover for valuables and some may need specific cover. Admiral said items worth more than £2,000 must be individually listed on its home insurance policies.
The company said it dealt with more than 300 claims for watches stolen outside the home in 2023 and 2024. Of these, two-thirds were valued at more than £2,000 and specifically listed on policies, underscoring the need to regularly check valuations.
Noel Summerfield, household director at Admiral Insurance, said: “Providing up-to-date valuations to your insurer is essential so if you do have to make a claim for theft, damage or loss you will be covered for the full value of your items. If something is undervalued, insurers might not pay out its full worth.
“Gold prices have tripled in a decade – if your valuables haven’t been revalued in years, now’s the time. Depending on the value of your item, your insurer may need you to provide proof of how much it’s worth when you add it to your policy.
“However, it’s also important to make sure you check the value of your item regularly and, if it changes, you should update your policy to make sure you’re fully covered.”
Here are some tips from Admiral to ensure gold items and luxury watches are fully covered:
– Keep receipts
Having proof of the amount paid and the date can also help with tracking changes in an item’s value over time.
– Create an inventory
Keep a secure, up-to-date record, including high-quality photos stored safely, such as in the Cloud.
– Check the policy small print
You may need to list items separately and make sure they have appropriate cover if they are taken out of the home. Individual insurers have their own thresholds and requirements.
– Store valuables securely
Some people may want to consider storing items locked away. Some insurers require items over a certain value to be stored in a safe. Admiral, for example, requires jewellery, items containing gold, and watches worth more than £10,000 to be stored in a safe.
– Keep valuations up to date
Many high street jewellers and specialist organisations offer valuation services. If an item’s value changes, submit an updated document to your insurer.
