How Often Should You Have Valuable Items Valued?

How Often Should You Have Valuable Items Valued?

How Often Should You Have Valuable Items Valued? 600 400 James Hallam

In the world of insurance and asset protection, valuations are a key topic of discussion. But what exactly is a valuation, and why is it so important?

What is a Valuation?

A valuation is an expert assessment of the value of an item, carried out by a professional with extensive experience and specialised training. This expert will consider various factors including the current market value, condition, provenance, and material of the item. The result is a “Retail Replacement” value, which represents the cost to replace the item with a similar one in the event of a loss.

Why are Valuations Important

  • Accurate Insurance Coverage: The primary purpose of a valuation is to ensure that your valuables are insured for their true worth. This prevents the risk of underinsurance, which can lead to significant financial loss if an item is damaged or stolen.
  • Claims Settlement: In the unfortunate event of a loss, a professional valuation provides solid evidence to support a full claims settlement, ensuring you receive the appropriate compensation.
  • Estate Planning and Inheritance: Valuations are also useful for making wills and understanding the value of inherited items.
  • Market Insight: Regular valuations provide insights into the current market value of your items, which can fluctuate significantly over time.

How Often Should Watches and Jewellery Be Valued?

The frequency of updating valuations depends on the item to be valued and market conditions. For example:

  • Luxury Watches: Given the volatile nature of the luxury watch market, an annual valuation is advisable.
  • Jewellery: Jewellery should be revalued every two years to ensure it is not underinsured due to rising market values.

What is Underinsurance?

Underinsurance occurs when an item is insured for less than its replacement cost. This often happens due to outdated valuations or incorrect initial assessments. In the event of a claim, underinsurance can result in receiving a much lower payout than needed to replace the item or less than you would need for an item to be repaired or restored.

How to Avoid Underinsurance

  • Regular Updates: Ensure your valuations are updated regularly, considering market changes and the specific type of item.
  • Professional Advice: Consult with professional valuers who have the necessary expertise and can provide comprehensive valuation reports.

Choosing a Professional Valuer

When selecting a valuer, consider the following:

  • Expertise and Training: Ensure the valuer has specialised knowledge relevant to your items.
  • Professional Indemnity Insurance: Verify that the valuer has adequate insurance coverage.
  • Reputation and Reviews: Look for valuers with a strong reputation and positive reviews.

Regular valuations are essential for protecting your valuable assets, ensuring your insurance cover is right, and providing you with peace of mind. By staying informed and proactive about valuations, you can safeguard your possessions and be prepared for any eventuality.

Get in touch

If you have any concerns or queries please don’t hesitate to speak to us.
You can call any of the team on 0203 002 9859 or email