How do I know if an appraiser is qualified?

A jewelry appraisal should be performed by a qualified appraiser according to USPAP guidelines as directed by the ASB (Appraisal Standards Board). The appraiser should be able to provide you with verification of his or her credentials. Memberships in national, state and professional organizations can be verified independently.

Jordans’ senior gemologist, Ron Traxler, GG, has earned the distinction of a Qualified Appraiser, awarded to professionals with extensive formal education and training, and upon successful completion of a uniform exam. Currently there are only a handful of appraisers in the US with this distinction.

What information should an Appraisal Report contain?

Every jewelry appraisal report includes an item description, a list of components that make up the item, a detailed description of each component, a plot of the internal characteristics of every significant diamond and digital photographs. A plot of 2 ct. and larger diamonds is available upon request. A jewelry appraisal report should always be written according to the Uniform Standards of Professional Appraisal Practice (USPAP) and should include:

• Weight and content of special metals.
• Color photographs of all items.
• Carat weight, cut, clarity, color, measurement, proportions and finish of diamonds and gemstones, including an internal diagram showing any inclusions.
• Explanation of the grading system used.
• Colored gemstones certificates can be provided for colored stones when appropriate.
• The full description of the item appraised should be detailed and complete. All characteristics of the item should be included so that a proper appraised value can be established; assuring that the item could be duplicated exactly if replacement is required.
• An explanation of the definition of value should be included. The appraisal report must be able to substantiate the value of the item and the value of the service.

Click here to download a sample appraisal report (PDF)

Click here to download the insurance appraisal checklist (PDF)

How is the value of my jewelry established?

Remember, an appropriate appraisal does not set value; it reports value. A Graduate Gemologist Appraiser will ensure that the appropriate value is placed on each item documented so that the amount of insurance coverage is current, avoiding the risk of underinsurance.

Valuation methods for gemstone and jewelry appraisal reports depend on the purpose of the appraisal and generally fall into three categories:

1. Retail Replacement Value is the amount an insurance company will pay to replace an item in case of a loss or damage with inflation taken into consideration. This valuation is used for an insurance appraisal.
2. Fair Market Value is the price that a willing seller will accept from a willing buyer for an item in a second hand market. Such valuation is used for estate appraisals, dissolution of property, donations and liquidation.
3. The Cost Approach specifically refers to the cost of replacing or reproducing an item in one store. This will differ if the item was mass manufactured or custom made.

How frequently should jewelry be appraised?

The Insurance Institute of America recommends that jewelry be re-appraised every two years. In the event of an update, all that is necessary is to make sure the item(s) are still in existence, and are in good condition. Your insurance can then be updated to avoid being underinsured.

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