What is theft insurance for gold
Theft Insurance for gold is the insurance policy that requires one to mention specifically of his or her pieces of jewelry to be insured.
The claim does not pass muster in such a case. Unset jewelry must be mentioned as a special inclusion. If omitted, insurance won’t be given.
THEFT INSURANCE FOR GOLD
As far as insurance goes, most assume that a fire or a burglary cover, or a combination of both is enough. Under a householder policy package, these two covers are supposed to give protection against the natural elements and robbers.
Insurance needs to be purchased to make sure that the products are covered. One also has to find an adequate storage facility, preferably a bank locker.
However, having this policy alone may not be enough. True, a burglary cover covers housebreaking, larceny, and theft; and a fire policy extends to not only fire but other natural perils too. But both are not up to the mark.
The ambit of this type of insurance encompasses any loss or damage to ornaments and valuables by accident or misfortune when kept, worn or carried anywhere in India.
This has numerous advantages. For instance, if one happens to leave ornaments in a room and they get stolen, the jewelry insurance policy would come to the rescue as it covers all risks.
And also, when jewelry is kept in a locked car and still gets stolen, the owner is entitled to insurance. This policy is enforceable even when one uses a bank locker for storing his/her valuables.
This would take care of mishaps like jewelry being stolen when being brought from the bank’s locker.
The jewelry insurance can cover the individual, his/her children, and the parents too. All their valuables, plus the one of the individual, can be brought under the canopy of a single policy.
The only condition is that everyone must be permanently residing in the house.
If the individual finds the premium for this policy too expensive, here’s a simple tip. He/she should pay a premium for only that much jewelry which is kept at home.
There is another option which requires going in for a combination pack. For example, by taking five general policies — jewelry, fire, domestic appliances, burglary, and baggage insurance – the individual earns a 15 percent discount on jewelry insurance.
However, it is vital that the jewelry insurance covers the full value of the ornaments, or there could be a problem
In a situation where a house servant steals jewelry, the insurance company may not give any money because he is considered an employee.
Some insurers do not cover one’s bank locker. Others may provide cover for the loss of jewelry or precious stones only when they are kept in specified bank lockers.
One needs to ensure that he/she never sends jewelry by a separate carrier. The claim does not pass muster in such a case. Unset jewelry must be mentioned as a special inclusion. If omitted, insurance won’t be given.
It is also expedient for the individual to always take care of jewelry to keep them in fine condition. Cracked, scratched or broken ornaments are rejected, even if the insurance policy is in order.
Insurance companies do not entertain claims for losses suffered during cleaning or repairing. For example, one will not be compensated for a diamond or precious stone that falls from the ornament while undergoing restoration.
One important aspect of getting an insurance policy is getting the valuation done accurately. Generally, a valuation certificate becomes mandatory when the value of one item is more than 10 percent of the total sum assured. It is essential to furnish this valuation proof, otherwise, the policyholder is paid only 10 percent of the sum assured.
When the individual chooses a bank locker, the most important thing to consider is the overall cost. He/she should select a bank locker for which he/she just have to pay the rental, that is the annual charges only.
The implication of this is that the bank should charge just the basic fees.
If the individual is unable to pay the advance annual rent for three years, as some banks insist, then he/she should inquire whether savings account for paying one year’s rent can be opened. Then continue payment for three years. it is allowed also.
When the locker is being allotted, the individual should ensure that the key is brought to him/her in a sealed packet and opened in his/her presence. The individual shouldn’t accept any loose key.
It is expedient for the individual to remember and not to forget to ask for a copy of the hire-purchase agreement to ensure that the bank doesn’t demand a higher rent in the future.