Tag Archives: valuations

The Importance of a Professional Jewellery & Watches Valuation

Posted on by

If you have never needed a valuation completed, the cost is not as much as one might think and the easiest way to find out is to ask for a detailed quotation. As we charge on a time basis, all we need to know is the number of pieces, briefly what they are and your location.

Why do you need a valuation?

If you find yourself in a situation whereby you suffer a loss and need to make a claim on your insurance, the first questions you need to ask yourself are;

1. Can I show what the item was and that I owned it?
2. Do I have a detailed listing or the original receipt and a photograph of the item?
3. Do I know the value of the piece?

The easiest way to protect your jewellery in the event of a loss or damage is to insure it for its true value which will require a regular and up-to-date valuation. So, in the event of a loss you can provide your insurer with all of the above details easily and with as little fuss or inconvenience as possible.
A valuation will provide you with a document giving you a detailed description of the item(s), to include details of the stone, size, metal etc… and providing a value. If the diamond is certified, the certificate number should be noted within the description, as well as the name of the grading laboratory. It should be dated and also stated exactly what type of valuation it is. For insurance purposes, you will be looking for a value that will enable you to replace your treasured piece. Our specialists will always discuss with you about how you would choose to replace the item in an event of a loss. Many insurers apply a ‘New for Old’ replacement clause to Jewellery and Watches however if your ring is antique or obsolete our valuations will reflect this within our report and base of value on either a second-hand replacement value or secondary market replacement. We also check all clasps and settings of your jewellery as many insurers have a ‘Clasps and Settings clause’ in their policies which you may not be aware of until you suffer a lost.
Image of an Asprey three stone diamond ring
Asprey. A three stone diamond ring
Value in 2005 – £26,000
Value in 2012 – £33,000
Value today – £54,500
Insurers may only ask you to provide a valuation for items over £20, £30 or £50,000 depending on the insurer – however, we always ask a client if they can provide ownership, show what the items were and values in the event of a claim. This is always a ‘no’ in most cases… so, what happens in the event of a claim?
Without a valuation, insurers often use claims management specialists to try to find the value of jewellery after it has gone – an unsatisfactory process known as a post-loss valuation. Valuing something after you have lost it often results in an under-assessment of the lost item’s true value or not having your claim paid at all. We are asked to review photographs on a regular basis of jewellery that has been stolen, asking us if we can value it post loss, unfortunately without being able to see the piece and examine the piece we cannot provide a value.
Often this is a very distressing time which could have been avoided with a professional valuation.
So, when you need your jewellery and watches appraised, you can put your trust in us to look after you.
Image of a diamond Solitaire ring
A diamond Solitaire ring
Purchased 1999: £15,000
Valued in 2010: £22,000
Algorithm calculation £23,552 (index linked value insured for!)
Correct Value: £40,750
Our valuations follow a successful method that works by being an in depth, and cost effective process; Our specialist will attend your home – all of our team have formal qualifications and substantial experience within the industry and provide a friendly and professional service. Our team of administrators will look after you from the point of contact to you receiving your report within 15-20 days of your appointment.

Patek Philippe. A Nautilus 40th Anniversary Limited Edition Flyback Chronograph watch
Value in 2016 – £ 75,000
Secondary Market value – £400,000+ (now discontinued)

Now more than ever it is so important that your jewellery values and listings are up to date with your insurance company.

Once you have a valuation completed by us, we hold this information on our secure database, so in the event of any loss we assist you with your claim and provide an up to date value, which will ensure you receive the correct compensation enabling you to replace your item.

The most important reasons for a valuation are;

• In order to be fully insured, your jewellery needs to be listed separately on your Home Contents Policy with a broker who offers a bespoke policy.

• When you need to claim the valuation will provide you with

o Proof of ownership
o A detailed description of the item
o Proof of value

Without them you may end up with an unfair settlement, and no way of proving it.

• The valuation reports will increase your chances of successful recovery by the Police and addition to any registers.

Graff. A ruby and diamond Lotus pendant and earrings
Graff. A ruby and diamond Lotus pendant and earrings
Value in 2015 – £102,740
Valued today – £135,000

Like all markets, the price of silver, gold and diamonds go up and down as do the costs of manufacturing. All diamonds are traded around the world in US dollars, so exchange rates also affect todays values.

We strongly recommend a valuation is updated every 3 years however, if you are a collector of watches you may want to review these values annually as we have seen many makers discontinue certain styles which can increase their values.

Finally, always ensure you are using a reputable company when having a valuation completed and ensure you receive a copy of their Terms and Conditions of Business and they have at least £5m Professional Indemnity Insurance which is an industry standard.

Call us today for a quotation on 01883 652402 or email [email protected] and speak with Rachel. Our specialists cover the whole of the UK and Europe.

All Part of the Service!

Posted on by

Thomas Gainsborough, R.A. (British, 1727-1788)

 

A Day in the Life of David Dallas, Old Master Specialist

Last spring, I went to value a collection of pictures, in which there was reputedly an early portrait by Gainsborough painted in Suffolk in the 1750s.
The client believed the work to be by Gainsborough as it was a family descendant and heirloom, however they had no provenance for the work to authenticate it and had been asked by their insurer for a valuation.

Was the work worth £800 or £80,000 was the question?

So, it was arranged for me to visit the client at his home to view the works. When I saw the painting, I immediately recognised it to be by Gainsborough, it was not only by him but also in a perfect state of preservation in its original carved and giltwood frame.

Thomas Gainsborough, R.A. (British, 1727-1788)
Portrait of Mr Pattison, bust length wearing a brown coat and white stock

Happily, I know the current Gainsborough experts, Hugh Belsey and Sue Sloman, and arranged with the clients approval to tell Hugh of its whereabouts in time for him to photograph it and include it in his Catalogue Raisonne of the artists’ portraits.

Our client was delighted as this will enable future generations of his family to be able to confirm with authority that the work is in fact a work by Gainsborough and in the Catalogue Raisoone. This firmly establishes the painting in the current most authoritative work on the artist, adding lustre to its reputation, as an authentic Gainsborough and, therefore, enhancing its value.
This is all part of our service and at no added cost to the client.

Our team of renowned and internationally recognised specialists are available to assist you covering all areas of Art, Antiques, Silver, Jewellery, Watches, Cars, Books and Manuscripts and other valuable collectables.

We provide a personal, professional, friendly, discreet and completely confidential service providing independent Valuations for insurance, inheritance tax purposes, divorce and family division and providing independent advice on buying and selling.

The Importance of Keeping Your Values Up to Date and How to Avoid Under Insurance

Posted on by

Over my 28 years working in the Private Client industry working for specialist insurers, and consulting in the High Net Worth (HNW) space, I have seen numerous cases of inadequate cover. Incredibly up to 75-80% of HNW homes are estimated to be underinsured (Datamonitor report 2015).

I recall going with a broker to see one of their clients in London to review the value of their contents and valuables. The client’s wife casually enquired what the general contents were covered for and I’ll never forget her response when she was informed of the amount … ‘darling, that wouldn’t even cover my handbags’ – which incidentally were ‘serviced’ annually in New York. The sums insured were subsequently reviewed and there was a more than threefold increase in cover.

In another example, following an unfortunate fire at a substantial home, the total contents cover was almost exhausted in one room where the curtains alone were worth £70,000. They were completely damaged by smoke, rather than the fire itself. Whilst the insurer was sympathetic to the client’s position, they had not received adequate premium as the sums insured were hugely understated, and the insurer asked the client to pay backdated premium for the correct sums insured. The broker involved was grateful for the insurers approach, although had not spotted the degree of under insurance.

Why are HNW homes more at risk from underinsurance?

Value of certain items increase over the years such as jewellery, art and even wine.
Items made of precious metals and valuable stones are highly influenced by fluctuating markets, which can lead to significant increases.

Bill Baker of Porticus Insurance Consultants Ltd, a specialist HNW broker based in London commented on his experience:
‘We recommend that our clients’ jewellery is valued every 2-3 years to avoid under-insurance. We know many are not properly covered and when they do have a new valuation, we see very significant uplifts in values. We also regularly see under-insurance of contents in the high net worth sector. The replacement costs of contents in a typical detached family home can easily be £250,000 or significantly more depending on the quantity and quality of clothes, shoes, handbags, carpets, curtains, sports equipment and furniture’.

So how do insurers deal with under insurance at the time of a claim?

HNW insurers stipulate in their policy terms that items of contents and valuables need to be insured for their full value, and their adequacy will be reviewed at the time of a claim. If the amount is not adequate, they will require as a minimum that the sums insured be revised, and the correct premium collected. At worst they can potentially void the policy if there is deliberate misrepresentation, and or non-disclosure.

These insurers often individually list on the policy items over a certain value for jewellery, art and precious metals, and then cover them on an ‘agreed value’ basis. At a time of loss, the insurer will pay out the amount on the schedule, although not a higher amount if the item costs more to replace, which can be the case if the item has not been recently valued.
Most non-HNW insurers will apply average, where the amount paid out is proportional to the amount underinsured, so if the underinsurance amount is 50% for example, then only 50% of the claimed amount will be paid.


How to avoid underinsurance:

  • Have a professional assessment by a specialist valuer such as Doerr Dallas Valuations, to keep the values of your contents and precious items current. They offer an initial walk through valuation for £500 plus VAT, which will highlight any underinsurance on contents, as well as comment on the adequacy of jewellery cover. If there is significant underinsurance a full valuation will be recommended
  • Review your sums insured on a regular basis, considering movement in prices, for example the recent increase in gold prices
  • Undertake a full review of your home contents, including carpets and curtains, clothing and shoes, sports equipment, and items kept in cupboards, garages and garden rooms
  • Speak to a specialist HNW broker, who will offer you independent professional advice about how to protect your valuable assets, and recommend a suitable insurance policy for your needs

The Importance of Consulting Industry Recognised Art Specialists

Posted on by

Reports in the press recently about fake paintings loaned to a country house in Scotland and the London art dealer who paid £1m for a painting and proceeded to sell it on for £8m, highlight the importance of consulting recognised industry specialists when buying or considering selling. Unfortunately, these examples are only the ones in the press and not the works we see where clients have overpaid or the works are not right and we are the bearer of bad news.

This then reminds me of a very sad story that happened nearly 50 years ago, when I worked on the front counter at Christie’s, King Street.

A middle-aged man came to the desk with a large canvas of Diana and her hand maidens, wrapped up in brown paper and string. He said it was his family’s ‘Rubens’ and he wanted it valued. By pure chance, Christie’s Old Master Department had just taken on Gregory Martin, who for the previous 10 years had been curator of Flemish paintings at The National Gallery and was a Rubens expert. He examined the picture and pronounced it an old copy worth £1000-£1,500. I went back downstairs with the painting, wondering how best to break the news. He took it very badly, the blood draining from his face and slumping backwards into a chair. I bought him a cup of hot sweet tea like you do for trauma victims and he told me the story of how the painting came to be his.
His father had died a year ago and as the elder son, he was allowed first choice from the collection. The ‘Rubens’ was undoubtedly the most significant thing in the castle, and he had always loved it, so that was what he chose. His younger brother got everything else, which amounted to a little over three hundred paintings. I just prayed his brother was the accommodating type.
If only he’d taken a second opinion from a recognised specialist in the field of Old Master paintings prior to making his final choice. Please don’t make the same mistake.

In the art world there are many different genres of works and consequently experts who are authorities in their chosen field. Here are a few of our specialists who help to showcase the breadth and depth of knowledge we offer to our clients.

David Dallas,
Old Masters Specialist

David Dallas joined Christie’s in 1969, where he was the youngest person in a Technical Department (Old Masters). He subsequently became deputy head of the Picture Department at Phillips Son and Neale and ended his auctioneering career as International Director (Global Head) of Old Masters at Bonham’s in January 2015.

In between he worked for more than twenty years with Johnny Van Haeften, specialising in Dutch and Flemish paintings of the 17th Century. He is a specialist in British Landscape Paintings 1750-1850.

He was for many years on the Vetting Committee of the Summer and Winter Art and Antiques Fair at Olympia and Chairman of the Picture Vetting Committee at Grosvenor House Fair and has also been on the vetting committee of Masterpiece. He is a trustee of the Reading Foundation for Art, a former Chairman of The Friends of Readings Museum and Gallery and an external advisor to the Collections Committee of Eton College.

Jonathan Horwich,
Modern British Art Specialist

Jonathan Horwich began his career in the art world in 1973 with the picture dealer Thomas Agnew. In 1976 he joined the picture department of the recently opened Christie’s South Kensington, where he valued and catalogued their many multi- discipline picture sales. He was involved in all aspects of ‘CSK’s business including their innovative ‘ Roadshow’ valuation days held at locations across the UK. Jonathan became a regular auctioneer from 1984 onwards and an Associate Director in 1985.

In 1987 Jonathan was recruited to join Christie’s in King Street as Director and head of the Modern British picture department. During this time Jonathan continued as an auctioneer and gained a strong reputation for the sale of single owner Modern British Art collections, including those of Frederick Forsyth , Peter Meyer and many others and also became recognised as an expert in Modern British Art. In addition to his role in Modern British at Christie’s, Jonathan was appointed head of British and Irish Art in 1998, International Director of the 19th European picture department in 2003 and Deputy Chairman in 2006.

After 22 years at Christie’s King Street, Jonathan joined Bonhams in late 2009 as Global Director of picture departments, where he continued his involvement with Modern British auctions, while at the same time building up Bonhams worldwide picture auctions. This included setting up Impressionist and Contemporary sales and departments in London and New York. In January 2016 Jonathan was recruited to join Phillips in London as a Senior Specialist Director with a focus on Modern and Contemporary British Art a position which he held until December 2018.
Jonathan is recognised as an expert in the Modern British field and maintains close links with experts and galleries and also keeps abreast of all current market developments, trends and issues. Jonathan has a particular interest in and knowledge of the work of L.S. Lowry. As a result he has appeared on ITV’s ‘ Looking at Lowry’ and a Lowry focussed episode of the BBC’s ‘ Fake or Fortune’ .

Jonathan serves as a Council member and Steward for the Artists charity, the Artists General Benevolent Institute (AGBI) and is a member of Chelsea Arts Club.

Ben Hanley,
Contemporary Art Specialist

Ben is an established contemporary art specialist. He began his career working in the Old Master and 20th Century markets before moving into the contemporary market. He has over 20 years’ experience working in the UK and international art markets.

A graduate of Trinity College Dublin and the Courtauld Institute of Art London, Ben has developed specialist level knowledge in Old Masters, Impressionist, Modern and Post War & Contemporary art. In addition to this Ben has extensive project management experience having curated and produced over 100 art projects spanning highly complex multi-venue festivals to smaller bespoke events. He has worked with governmental, institutional and commercial partners including the National Gallery, V&A, the Serpentine Gallery, the Courtauld Institute, Christie’s, Sotheby’s and the Russian Ministry of Culture.