A jewelry appraisal is a document that describes an item, its quality, and its value. This video explains the services that professional jewelry appraisers offer for the purposes of insurance replacement. Most of the appraisals done today are for insurance replacements where the goal is to return the item’s value to the owner.
Other than insurance appraisals/replacement value appraisals, jewelry appraisers can also perform fair market value appraisals and liquidation appraisals.
Fair market value and liquidation appraisals are pretty similar in that they both reflect the actual resale value of the item, i.e., the amount one can expect if there were to sell the item. The difference is that a liquidation appraisal reflects the amount one can receive from an immediate sale. The purpose of getting an insurance jewelry appraisal is to get the full and fair value of the item from the insurance. A certified appraiser can provide a detailed and stamped appraisal that is legally binding. An accurate appraisal requires that the jewelry first be sent to a reputable gemological lab such as GIA or IGI, which will provide a scientific grading report. This report will form the basis for the appraisal.