Why and How to Get Your Jewelry Appraised by a Professional

Jewelry purchases are some of the most expensive and important purchases in your life and can be some of the most high value items that people own. Not only are they important financially, but also sentimentally because they’re likely connected to a special life event, such as a marriage, the birth of a child, or even the passing of a loved one.

Because of the importance these items hold, it is incredibly important to have them appraised so they can be properly insured and kept safe for future generations. Appraisals can vary depending upon the purpose, who is completing them, and who is requesting them. Let’s explore the world of jewelry appraisals and their importance, so you can ensure that your jewelry is properly valued and insured.

What Is a Jewelry Appraisal?

A jewelry appraisal is a formal written evaluation of a piece of jewelry to determine its value. Appraisals should be completed by qualified jewelry professionals, such as an Accredited Jewelry Professional, or a certified Gemologist. With proper training, these professionals have the knowledge and tools to evaluate jewelry and provide an accurate value. When doing an appraisal, the jewelry will be evaluated by testing, measuring, weighing, and visual inspection of the metal and gemstones to determine the condition of the piece.

Once the evaluation is complete, a written document will be created to note all important aspects of the jewelry and how they contribute to the value given. These include the current market of gold, diamonds, and gemstones. It may be good to brush up on your jewelry terminology (link to new article) so you can fully understand the appraisal document once complete.

Types of Jewelry Appraisals

1. Insurance Appraisals
When you purchase a piece of jewelry, many jewelers will provide an insurance appraisal, free of charge, with the purchase. This type of appraisal is meant to be submitted to insurance companies in order for them to insure the jewelry. It determines replacement value in the unfortunate case that jewelry is lost, stolen, or damaged.

2. Fair Market Value Appraisals
This type of appraisal is used when you’re preparing to sell a piece of jewelry. It assists in determining the value given the current market for gold, diamonds, and gemstones, as well as considering the condition of the jewelry. It will allow you to sell the piece at a price that is fair to both you and the buyer.

3. Estate Appraisals
An estate appraisal is often completed after the death of a loved one. It can often be carried out by attorneys handling the estate. These can be used to sell the jewelry after the estate is settled, or to divide it up fairly among the heirs.

4. Liquidation Appraisals
This type of appraisal is utilized during divorce or bankruptcy in order to determine the best price for a piece of jewelry–so it can be sold quickly.

Why Do You Need a Jewelry Appraisal?

Jewelry appraisals are used for many different reasons, from protecting a new engagement ring to processing the estate of a deceased family member.

An appraisal is required when you’re trying to insure a piece of jewelry. The majority of insurance companies will require that you provide an appraisal, so they can properly determine the value of the jewelry in order to insure it. This will also need to be updated every few years at the insurance company’s discretion.

If you’re trying to sell a piece of jewelry, you will want to get an appraisal in order to know the best range to price it within. Meanwhile, the buyer will want to have proof of the value before finalizing the purchase.

For estate or divorce proceedings, appraisals provide assurance that items will be equally divided between parties and can minimize conflict during a complicated time.

The Jewelry Appraisal Process

The process of getting a jewelry appraisal can sound daunting, but it just takes a little research and organization. You’ll want to start by finding a qualified appraiser, which you can do by calling or visiting your local jewelry store (they will often have someone on staff who is qualified).

You should always ask what someone’s credentials are and research the organization who provides the credentials–such as the Gemological Institute of America (GIA) or the American Society of Appraisers (ASA).

The appraiser will ask you to provide the piece of jewelry that needs appraised, along with any documentation, such as receipts, diamond or gemstone reports, or previous appraisals that were done on the piece. By evaluating these documents, the appraiser can understand the history of the value of the jewelry and compare it to the current market value.

You will need to leave the jewelry with the appraiser while it is evaluated, so it can be weighed, measured, reviewed under a microscope, gemstone tested, etc. These steps are necessary before the jeweler can write up the official report. When you pick up your jewelry and the appraisal, you should be able to review it and ask any clarifying questions.

How Often Should You Get Jewelry Appraisals?

The value of your jewelry can fluctuate due to changes in the market for gold, diamonds, and gemstones. Since prices for these precious materials vary daily, the value of your jewelry can also change over time. This doesn’t mean you need to constantly update your appraisal, but it’s important to review it every three to five years to ensure your jewelry is properly valued.

If there are sudden and significant changes in the market, or if you make any major alterations to the jewelry, it would be a good idea to get it appraised sooner rather than later. Before requesting a new appraisal make sure you talk to a professional appraiser who can help determine the right type of appraisal for your needs. Whether you’re seeking an appraisal for insurance, resale, or estate planning, each purpose requires a different type of valuation.

Jewelry appraisals play an important role in protecting value and ensuring the safety of your jewelry, which is often among your most valuable assets. Whether your jewelry is part of an insurance policy, intended for resale, involved in estate planning, or required for legal purposes, having it appraised by a qualified professional is essential.

An accurate appraisal provides you with the necessary documentation to support your claims or decisions in various life situations, such as insuring the pieces, dividing them during inheritance, or determining their market value when selling.

While the process of getting an appraisal may seem overwhelming at first–especially with all the details involved in evaluating the quality and worth of precious metals and gemstones–it doesn't have to be complicated. With a little bit of research invested into finding a reputable and certified appraiser, the process can be painless.