By some estimates, humans make around 35,000 decisions every day. Researchers at Cornell University found that people make 226.7 decisions each day just about food. As a business owner, these numbers may not surprise you at all. There are days when you probably feel like you make 35,000 decisions before lunch.
Some of the choices we make are low stakes, like which coffee mug to use. Other choices, however, are exceedingly important for the success of your business. As a jeweler, numismatist, or other professional dealing in high-value, precious goods, protecting your business is just as important as crafting exquisite pieces. With high-value inventory and unique risks such as theft, damage, and liability, having the right insurance coverage is essential.
But what should you consider before making a decision? We’ve compiled a guide to help you choose the best insurance for your jewelry business.
Key Types of Insurance Coverage for Jewelers
To adequately protect your business against the unexpected, you’ll need more than one policy. The combination and amount of coverage you choose should cover multiple aspects of your operation.
In addition, some types of insurance are required by your state, municipality, landlord, or mortgage holder.
1. Jeweler’s Block Insurance
This specialized insurance is designed specifically for jewelers, covering theft, loss, and damage to your inventory, whether in-store, in transit, or at trade shows.
2. Shipping Insurance
Companies like Cabrella offer shipping insurance for your jewelry business to protect your valuable shipments from loss, theft, or damage during transit, ensuring financial security and peace of mind.
3. General Liability Insurance
Accidents happen. This coverage protects you in case a customer gets injured in your store or if your business is responsible for damage to someone else’s property.
4. Business Property Insurance
Your store, equipment, and fixtures need protection from unexpected disasters like fire, vandalism, or natural events. This type of policy ensures you can recover quickly if a disaster strikes.
5. Workers’ Compensation Insurance
If you have employees, this is often a legal requirement. It covers medical expenses and lost wages in case an employee gets injured on the job.
6. Commercial Auto Insurance
If your business involves transporting jewelry, this policy covers accidents involving your business vehicle, ensuring your precious cargo is protected on the road.
7. Cyber Liability Insurance
With online sales and digital transactions becoming more common, cyber threats are a real risk. This insurance helps protect your business from financial losses due to data breaches and cyberattacks.
Things to Consider Before Choosing a Policy
- Coverage Limits and Deductibles – Ensure your policy covers the full value of your inventory and choose a deductible that balances affordability with sufficient protection.
- Exclusions and Limitations – Carefully read the fine print to understand what’s covered and what’s not, such as unattended jewelry.
- Claims Process and Reputation – Work with insurers known for handling claims efficiently and fairly.
- Policy Customization – Consider endorsements for additional coverage, such as trade shows, trunk shows, or traveling sales.
Do You Need an Insurer that Specializes in Gems and Jewelry?
While general business insurance providers may offer basic coverage, working with a specialized insurer or broker is highly recommended for jewelers. Here’s why:
Industry Expertise – Specialized insurers understand the unique risks jewelers face, from theft to high-value shipments.
Comprehensive Coverage – They provide tailored policies that cover jewelry in transit, exhibitions, and trade shows.
Higher Coverage Limits – Jewelry businesses require higher coverage than standard business insurance policies typically offer.
Better Claims Handling – With experience in jewelry-related claims, specialized insurers can expedite the process and ensure fair payouts.
Should You Work with a Broker?
A broker, especially one experienced in jewelry insurance, can shop around multiple insurers to find the best deal for your business. They negotiate terms, ensure you’re not underinsured, and help you navigate policy details.
Final Thoughts
Choosing the right insurance is an investment in the security of your jewelry business. By working with specialized insurers or brokers, you can ensure that your valuable inventory, employees, and operations are fully protected. Take the time to compare policies, read the fine print, and select the best coverage that aligns with your business needs.
Do you have questions about jewelry business insurance? Meslee can help! Reach out today for more information.
