Worldwide all-risks cover for jewellery, art and watches

For individuals with significant collections of jewellery, fine art, and luxury watches, standard home insurance policies often fall short regarding the specialist 'all-risks' cover required, particularly when these items travel. This guide explores the intricacies of worldwide all-risks insurance, a crucial component of high-net-worth insurance provision, ensuring your valuable possessions are protected wherever you go.

Understanding Worldwide All-Risks Cover

Worldwide all-risks insurance is a comprehensive form of coverage designed to protect high-value portable assets, such as jewellery, watches, and fine art, against a broad spectrum of perils, anywhere in the world. Unlike typical home insurance, which may apply geographical limitations or specific policy exclusions for items taken outside the home, all-risks cover provides peace of mind for international travel and global lifestyles.

Key Features of All-Risks Policies

• Broad Perils Covered: This policy typically covers accidental damage, loss, theft, and mysterious disappearance. It's designed to be comprehensive, though specific exclusions (e.g., wear and tear, manufacturing defects) will always apply and should be carefully reviewed.
• Global Protection: The 'worldwide' element is crucial, meaning your specified items are insured whether they are in your primary residence, a holiday home, a hotel, or in transit anywhere globally.
• Agreed Value vs. Market Value: For unique or high-value items, policies often opt for an 'agreed value' basis. This means that at the outset of the policy, you and the insurer agree on the value of the item, typically based on an up-to-date professional valuation. In the event of a loss, this agreed amount is paid without depreciation or debate over market value at the time of the claim. This is particularly important for art and antique jewellery where market fluctuations can be significant.
• No Single Article Limits (for scheduled items): Unlike standard policies which often impose 'single article limits' (e.g., £2,500 maximum for any single item of jewellery unless individually specified), worldwide all-risks policies schedule each high-value item individually. This ensures each piece is covered for its full value.

The Importance of Professional Valuations

For worldwide all-risks cover, especially for art and collectables, regular, professional valuations are non-negotiable. Insurers typically require valuations to be no older than three to five years, though for very volatile markets or exceptionally unique items, annual reviews might be advisable. A RICS (Royal Institution of Chartered Surveyors) approved valuer for art or a recognised gemmologist/jewellery valuer can provide the necessary documentation. Without current valuations, insurers may apply 'average' clauses or dispute the true value of an item at the point of claim, leading to underinsurance.

Specific Considerations for Jewellery, Art & Watches

Jewellery and Watches

• Scheduling: Each piece of jewellery or watch above a certain value (often £2,500 - £10,000, depending on the insurer and overall collection value) should be individually listed on your policy with its agreed value and description.
• Security Requirements: Insurers often stipulate security precautions, especially for items kept at home or in transit. This could include requirements for safes (e.g., tested to European standards like EN1143-1 for cash rating, or VdS certified), alarm systems, and specific protocols for wearing or transporting items. Non-compliance could invalidate a claim.
• Pairs and Sets Clause: If one item from a pair (e.g., earrings) or a set (e.g., a five-piece parure) is lost or damaged, the 'pairs and sets' clause determines how the remaining items are valued and if the entire set can be claimed. A specialist policy aims to ensure the intrinsic value of the set is maintained.
• Mysterious Disappearance: This clause is particularly valuable for jewellery. It covers situations where an item cannot be found and its disappearance cannot be attributed to theft or accidental loss in a known location. However, claims are usually paid only once an exhaustive search has been conducted and no other explanation found.

Fine Art and Collectables

• Provenance and Authentication: For art, provenance (the history of ownership) and authentication are paramount. Insurers will expect detailed records, certificates of authenticity, and often condition reports, particularly for high-value pieces.
• Conservation and Restoration: Policies can cover accidental damage requiring specialist restoration. It’s crucial to use only RICS-approved or recognised art conservators for repairs, as improper restoration can significantly devalue a piece.
• Exhibitions and Loans: If you loan art to galleries or museums, ensure your policy coordinates with theirs, typically providing 'nail-to-nail' cover, protecting the artwork from the moment it leaves your premises until its return, including during transit and exhibition.
• Environmental Controls: For particularly sensitive artwork, insurers may inquire about climate control, security, and fire suppression systems within your property, especially for permanent home displays.

Security and Risk Management for High-Value Collections

Effective risk management is a partnership between you and your insurer. Demonstrating robust security measures can not only reduce your premium but also provide greater peace of mind.

Home Security

• Certificated Safes: Most high-net-worth policies require items above a certain value (e.g., £50,000 or £100,000 for jewellery) to be stored in a BS EN 1143-1 certified safe when not being worn or displayed. The cash rating of the safe should be appropriate to the total value of items stored.
• Alarm Systems: Alarms with central station monitoring and police response are often a requirement, particularly for properties with significant art collections. Systems should be regularly serviced and comply with British Standards (e.g., BS EN 50131 for intruder alarm systems).
• Physical Security: High-quality locks on doors and windows (e.g., BS3621 mortice deadlocks), security lighting, and potentially even security personnel can be components of a comprehensive security strategy.

Travel Security

When travelling with high-value items, consider:

• Direct Transport: Use secure, reputable couriers for extremely valuable art or collections.
• Personal Carry: For jewellery and watches, personal carry in a secure manner (e.g., concealed on your person, not in checked luggage) is usually advisable.
• Hotel Safes: Be aware of the limitations of hotel safes; they often offer minimal security. Always check policy terms regarding items stored in hotel safes.

Premier Insurance, as a BIBA member, works with specialist insurers who understand these requirements and can advise on appropriate security measures.

Common Questions

What is the difference between Worldwide All-Risks and standard travel insurance?

Standard travel insurance typically has very low single article limits (often £250-£500) and an overall maximum payout that is far too low for high-value jewellery, art, or watches. It also often excludes items left unattended in baggage or vehicles. Worldwide all-risks cover, as part of a high-net-worth policy, specifically schedules and covers these items for their full, agreed value globally, offering comprehensive protection against a broader range of perils and with fewer restrictive clauses.

If I have a particularly unique or valuable item, how do insurers value it?

For unique or exceptionally valuable items, insurers will almost always require an up-to-date professional valuation from a recognised expert in that field. For art, this would be an established art valuer, and for precious stones or antique jewellery, a certified gemmologist or specialist jeweller. In some cases, for items with fluctuating market value, an 'appraisal clause' might be included, requiring periodic re-valuations, or an 'agreed value' amount may be fixed at the outset of the policy based on the valuation provided.

Are items being shipped or held in storage covered?

Worldwide all-risks policies typically extend to cover items in transit via specialist fine art handlers or reputable couriers, and often whilst in secure, professional storage facilities. However, it is crucial to declare these situations to your broker and insurer as specific clauses or endorsements may apply. For example, some policies might stipulate certain packing standards for shipping art or require the storage facility to meet specific security criteria. Always confirm coverage before making arrangements for shipping or long-term storage.

Related High Net Worth insurance guides

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• Insuring large landlord portfolios (20+ properties)
• Complex property portfolio insurance: mixed-use, commercial + residential
• Listed and historic high-value home insurance
• High net worth contents insurance: single-article limits explained

Speak to a UK insurance broker

Premier Insurance has been arranging UK high net worth insurance since 1983. We are FCA regulated, BIBA members, and place cover with 200+ insurers including Lloyd's of London. Call 020 8908 2426, WhatsApp 07954 331362, or email hello@premier-insurance.co.uk. See our High Net Worth Insurance page for full cover details.