Jewelry Appraisal Standards
Enabling jewelry professionals to prepare appraisals to exacting insurance industry standards
Because JCRS’ products and services serve to connect the jewelry and insurance industries and their customers, a common appraisal standard is both desirable and necessary.
Within the jewelry industry there are several different standards groups and organizations, each with its own idea of what constitutes a good jewelry appraisal. Unfortunately, the lack of commonality in the jewelry industry created confusion for insurance professionals.
The insurance industry resolved this confusion by developing its own standards, which include precise gemological description and reliable documentation. ACORD originally described, published and maintained the standards, making the forms available to its membership. Since late 2005, support and distribution of the jewelry appraisal standards is handled by the Jewelry Insurance Standards Organization (JISO), an insurance industry trust.
The ability of insurance standards organizations to work harmoniously together enabled the creation of standards and forms that insurance professionals can rely upon.
Facilitating the collection of relevant information
The ACORD Jewelry Standards, created and developed by JCRS, include standardized appraisal forms that ask for specific details on the item of jewelry being appraised. The availability of standardized appraisal data enables insurers to more accurately underwrite and insure the jewelry, as well as settle claims fairly and obtain trustworthy replacement quotations.
Retailers of fine jewelry also appreciate standardized forms because they provide an opportunity to explain to customers specific qualities that affect the value of jewelry. The forms offer them the opportunity to emphasize the importance of full disclosure of important details for customers who are comparison shopping. The customer not only becomes a more informed consumer, but typically develops higher regard for the jeweler.
- ACORD 78 (now JISO 78) - Jewelry Insurance Appraisal - Single Item. Form 78 contains a single jewelry item, and the jewelry descriptive content allows for seven stone groupings. This form may be used alone or in combination with form 79 by jewelers (who are Graduate Gemologists and Certified Insurance Appraisers) to provide appraisal information about jewelry. (ACORD/JISO 78 instructions)
- ACORD 79 (now JISO 79) - Jewelry Insurance Appraisal. Form 79 allows for up to two jewelry items per page, and up to two stone groupings. This form may be used by jewelers (who are Graduate Gemologists and Certified Insurance Appraisers) to provide appraisal information about jewelry. (ACORD/JISO 79 instructions)
- ACORD 805 (now JISO 805) - Jewelry Receipt for Insurance Purposes. This form can be used by the insured's selling jeweler to document the price paid for the item and to provide the insurer with the necessary descriptive information about sold jewelry. This form is not an appraisal. (When an appraisal is required, jewelers who are Graduate Gemologists and Certified Insurance Appraisers can use form 78 or form 79). Form 805 is intended to be used by jewelers who do not meet the higher education and training requirements set forth in the 78 and 79 forms. The descriptive content is the same, however, providing necessary information for the scheduling of typical jewelry items of lower value, for which the underwriter does not require an appraisal. (ACORD/JISO 805 instructions)
- JISO 806 – Jewelry Document for Insurance Purposes. This form can be used to provide the necessary descriptive information about jewelry for insurance purposes. It is intended to be used by jewelers who do not meet the higher education and training requirements set forth in the ACORD/JISO 78 and 79 appraisal forms. The descriptive content is the same, however, providing necessary information for the scheduling of typical jewelry items. (JISO 806 instructions)
- ACORD 18 (now JISO 18) - Jewelry Appraisal and Claim Evaluation. This form can be used to assist in determining the adequacy of content of a jewelry appraisal submitted to an underwriter or as a part of a Loss Report. It contains the minimal information necessary to determine jewelry value. Form 18 should not be necessary if the appraiser used either the 78 or 79 Jewelry Appraisal forms or if the seller completed the form 805 Jewelry Sales Receipt. Form 18 can be used to verify key information and aid in policy typing. (ACORD/JISO 18 instructions)
- ACORD 154 (now JISO 154) - Jeweler's Inventory Record. This inventory card is a tool for use by jewelers to address the problems associated with Jewelers Block inventory and record keeping requirements. It is a simple, concise, manual recording system and is compatible with most computer systems. The front of the card provides a standardized item description that meets insurance industry provisions and aids in appraisal preparation. It supplies data for complete sales analysis and flexible recording. The card tracks inventory location and item status (layaway, consignment, etc.), and it allows cost analysis of the complete piece and of its component parts. The back of the card is for keeping track of jewelry items made up of several inventory items (MakeUp) or for tracking components when a single item is broken up into its component parts (BreakUp). (MakeUp - BreakUp is a trademark of JCRS, Jewelry Underwriting & Claim Mitigation.). The cards will fit any standard 3 x 5 inch card file system. (ACORD/JISO 154 instructions)