Most Policies Provide Limited Coverage
Homeowner's insurance policies typically provide limited coverage for jewelry. Policies generally do not cover jewelry, or gems from jewelry pieces, that are simply lost or mysteriously disappear. Read your homeowner's insurance policy carefully to determine whether your valuables, such as a diamond ring, are adequately insured.
Insurance policies differ from one company to the next, but policies typically limit coverage for jewelry and other types of items that might be very valuable. The most common types of homeowner insurance policies impose a limit of $1,500 for loss by theft of jewelry, watches, precious and semi-precious stones. This means that, regardless of how many jewelry items might be missing following a theft loss, the insurance company will not pay more than $1,500 for the loss.
There is no limitation on jewelry (up to policy limits) if the loss occurs as a result of another insured peril. So, for example, if jewelry is damaged as a result of a fire the items would be covered. There is no coverage at all for jewelry or gems that are simply lost because mysterious disappearance is not a peril covered under the policy.