A. That's a gem of a question,
but there's a good reason for scheduling your jewellery -- and
it has nothing to do with timetables! Picture this. You come home
from a night out at the movies, only to find that your house has
been broken into and all your valuable jewellery stolen. You call
your insurance broker, who informs you that your jewellery is
covered for only $2,000 on your homeowners policy if it was stolen.
And yet, you know it was worth much more than that. That's where
scheduling comes in -- to fill the gap between what your typical
homeowners policy covers and the value of your jewellery.
"Scheduling," in insurance lingo, is an optional "extra"
that beefs up your insurance coverage. You would schedule items
like jewellery or furs, so you could recover their current value
if they were damaged, lost, or stolen. Your homeowners policy
generally pays only up to a limit of $2,000 for a theft loss,
so if your jewellery is worth more than that, you should have
it scheduled. Another advantage to scheduling is that usually,
you do not have to pay a deductible (the portion of the claim
that you agree to pay) in the event of a loss, as you would for
a claim under your homeowners policy.
You should also have your valuables appraised, so you know how
much insurance you need. Be sure to keep the appraisal up to date,
as your jewellery may appreciate in value, and you want to have
the appropriate amount of insurance. (Conversely, if it depreciates,
you could be paying too much to insure it.) Also, keep any receipts
to verify ownership of your valuables. This is particularly important
for items like camera equipment that you would not normally have
appraised, since it probably will depreciate in value.
Finally, keep all your valuables locked up, either in a safe
on your premises, or in a safety-deposit box. While you can buy
insurance to cover the cost of replacing your precious heirlooms,
you can never replace their sentimental value.
Note: The preceding information is based on
Insurance Bureau of Canada's guideline wordings. Remember, policies
vary, so when in doubt, consult your insurance representative.
A. It is normal for an insurance company, under the circumstances that you have outlined, to return the table to the condition that it was in prior to the loss. By so doing, the company meets its obligations under the insurance contract.
The possible loss of value caused by refinishing the table is an indirect loss that is not insured.
You may wish to discuss this with a claims supervisor, but it would seem that by refinishing the table, the insurer would be meeting its obligations under the terms of the contract.
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