A valuation schedule can be quite a complex document, so to help better understand what is contains and why, as well as a few of the limitations that are applicable to the valuation process itself, the following explanatory notes have been compiled for your information. These should be read in conjunction with the attached schedule and the transmittal letter and should you like any further assistance or have any queries please feel free to discuss these with your valuer
In accordance with the NAG Principals of Good Practice for Valuers, the utmost care and precaution has been taken to present an honest and unbiased report on the quality and value of the goods contained in this schedule. File copies of all pertinent information are maintained for a period of seven years for updating and/or future reference.
The value(s) of the article(s) specified in this schedule may reasonably vary from the value(s) assigned to the same article(s) by other valuers. Such variances do not necessarily constitute error on the part of any valuer concerned. In the event of serious dispute, the valuer agrees to abide by the ‘Resolution of Disputes Procedure’ specified by the NAG principals of good practice, should any detail and/or value stated within this schedule become the subject of dispute and it subsequently transpires that material information relating to that detail and/or value was withheld, the valuer reserves the right to recall this schedule and make amendments as may be necessary. In this event, the valuer shall be entitled to levy reasonable additional fees for the extra work incurred.
The values stated in this schedule do not constitute an offer to purchase nor are they intended to suggest figures likely to be raised in the event of sale(unless the valuation is specifically for that purpose).Where it is applicable and unless otherwise stated, the values given in the schedule include Value Added Tax (VAT) at Whatever rate is in force at the date of the schedule. Articles are valued only with regard to materials, workmanship, scarcity and relevant market forces and no account is taken of any sentimental value.
It is recommended that a valuation for insurance be updated regularly. This provides an opportunity to check and clean the articles thoroughly and in such cases, a reduced fee may be applicable. Customers are reminded that values do not necessarily correspond to the prevailing rate of inflation and the practice of index linking used by some insurers may prove to be misleading and inaccurate. These may result in either
overpayment of premiums or underinsurance in the event of a claim.
All un-hallmarked articles contained in this schedule have been tested by the valuer and have been valued according to results obtained by the application of acids or by the use of an electronic metal testing meter. However, it is illegal to describe such articles as an official standard of fineness without the required hallmarks (see The Hallmarking Act 1973)
The valuer has not investigated title to the property detailed in this valuation and the inclusion of any one person’s details does not convey any inference, indication or verification of that person’s ownership and/or title to the property specified herein.
Unless otherwise stated, all dimensions and estimated weights of gemstones in this schedule have been determined without unsetting the stones, and are therefore, only approximate because of limitations imposed by the mount. Estimated weights are normally calculated by applying standard formulae to the measurements taken.
Unless otherwise stated, any quality assessments attributed to diamonds in this schedule have been determined without unsetting the stones and are, therefore, to be considered only as estimated because of limitations imposed by the mount. Where stated, colour assessment has been undertaken against certified comparison stones. The quality assessment system adopted in this schedule has been based on the diamond grading scale recommended by the GIA (Gemmological Institute of America). In the event of serious doubt, it is recommended that a report be obtained from a recognized independent gem testing laboratory. The valuer cannot be held responsible should a different opinion be formed on a stone/s that are subsequently unset and appraised.
Unless otherwise stated, any colour assessment attributed to coloured gemstones in this schedule have been determined without unsetting the stones and are therefore to be considered only as probable because of the limitations imposed by the mount. Here, stated coloured gemstone assessment has been undertaken utilizing the ‘World of Colour’ system and/or other internationally recognized and accepted grading system.
Whilst the valuer is reasonably satisfied that all such descriptions are correct, no responsibility can be assumed if subsequent unsetting and testing disproves the opinions in the event of serious doubt. It is recommended that a report be obtained from a recognized independent gem testing laboratory.
Unless otherwise stated, any article, which incorporates pearls, has been valued according to the opinion expressed. i.e culture, natural etc. Unless otherwise stated none has been subjected to testing by X-ray to confirm this opinion.
The following abbreviations are used to explain the categories of replacement values for the purposes of insurance replacement.
NRV New Replacement Value
This category of value represents the average current UK retail replacement price of a visually similar new item of equivalent quality. Convention dictates that this category of value is usually ascribed to items, which in the valuers opinion, are of recent manufacture. It does not, however, allow for recreating a handmade facsimile of the original.
NFOV New For Old Value
The category of value embraces the same parameters as new replacement value but is ascribed to second hand items when the owner discloses to the valuer that, I the event of loss, the basis for settlement specified in their insurance policy is ‘New for old”. Many obsolete wristwatches are very often placed into this category of value and the ascribed value reflects the current new replacement price of a similar model of equivalent quality which may or may not be the same brand name.
SHRV Second Hand Replacement Value
This category of value represents the average current UK retail replacement price of a visually similar second hand comparable item of equivalent quality and like condition. The value expressed makes no allowance whatsoever for the current cost of individual replacement component parts in the event of a partial loss: neither does it take into account the cost of restoring or recreating the article in question in the event of major accidental damage. Convention dictates that this value is usually ascribed to items which in the valuer’s opinion have been manufactured
less than 100 years ago, but where NRV/NFOV is not appropriate..
ARV Antique Replacement Value
This category of value represents the average current UK replacement price of a visually similar antique comparable item of equivalent quality and in like condition. The value stated makes no allowance whatsoever for the current cost of individual replacement component parts in the event of partial loss. Neither does it take into account the cost of restoring or recreating the article in question in the event of major accidental damage. Convention dictates that this value is usually ascribed to items which, in the valuer’s opinion, have been manufactured over 100 years ago.
This value reflects the likely average current replacement price of creating a facsimile of the original utilizing the same quality materials and
processes. It should be noted that this is a type of valuation rarely used and the vast majority of modern jewellery will, even if handmade, be
adequately covered by the standard new replacement qualification.
Convention dictates that this category of value is usually ascribed to items that are below the insured’s single item limit and as such are not required to be specified on their policy. Nominal values are based primarily upon the valuer’s knowledge and experience of visually similar comparable pieces of equivalent quality. These values are to be considered approximate only because the pieces have not been appraised in any great detail.
An agreed value is a contractual obligation by the insurer, who in return for a premium from the insured will, in the event of loss, pay the insured a pre-determined agreed sum of money. This type of insurance is designed for property that is irreplaceable (very rare or unique with no real comparable) whereby the insured can only be compensated for the loss by being paid a declared monetary sum. This may/may not be used to replace the property in a market of choice.
Regardless of the type of value ascribed to an article, it should be noted that the value makes no pro-rata allowance for the current cost of component parts in event of a partial loss. Nor does it take into account the cost of restoring or recreating the article in question in the event of major accidental damage. It is accepted by insurers that the costs of selecting replacement gems and repair work to setting etc cannot be directly related to the value of the article in its entirety. This particularly relevant to pairs and/or sets or articles valued as either SHRV or ARV.
Damage – The appraiser has examined each item listed in the schedule and where appropriate, any damage, which would have an adverse effect on the value, is stated. However ordinary wear and tear common to these items is not normally noted.
All values given represent average approximate retail replacement prices within the various categories specified – i.e NRV/NFOV, SHRV ,ARV and FV. These values do not necessarily reflect the price at which the valued item(s) may be purchased from any particular retailer but attempt to reflect an average of a broad range of current prices of such items available from retailers offering similar goods in the appropriate market.
All values given for articles of foreign manufacture represent approximate retail replacement prices which attempt to reflect an average of a broad range of current prices of such articles available from retailers offering goods of comparable quality to consumers in the UK.
Obsolete watches: the stated value for any obsolete watch given a NRV/NFOV figure represents the current new replacement price for the nearest model of equivalent quality, which may, or may not, be the same brand. Watches valued for SHRV are generally, but not necessarily, likely to be more than 30 years old and will be so valued because they are of a brand/style/type no longer available or will be in a condition that reflects the age and wear provided by the passing years. Insurers normally accept the distinctions and will normally take the stance that replacement will be on the basis of ‘equivalence’ rather than ‘betterment’ and it is this principal that guides the valuer in the valuation method applied.
Levels of Value
Convention dictates that valuations for the purpose of Insurance replacement ordinarily reflect likely retail values in the UK ‘high street’ shops/outlets. However, there are alternative sources that can be used to replace items of personal property. Unless otherwise stated, the level of replacement values ascribed in this valuation is based upon UK high street shops retail prices but for the avoidance of doubt, the most frequently accepted levels of value acceptable to insurers are usually as follows:
Retail Shops (UK high Street)
These prices reflect the likely prices normally achieved at this level, notwithstanding the categories of value adopted (NRV,NFOV,SHRV,ARV and FV)
These prices reflect the likely gross pre-sale high auction estimated prices likely to be achieved at this level in the UK notwithstanding that the only categories of value that can be contemplated are ARV and SHRV. Such values reflect the condition of the property is in at the date of appraisal and are based upon the higher limit of the estimated gross auction prices taking into consideration all commissions and/or premiums payable plus VAT at the appropriate rate.
These prices reflect the likely prices achieved at this level by UK based traders. The normal categories adopted within this market are; NRV, NFOV, SHRV and ARV.
Television Shopping Channels
The prices reflected at this level represent the prices achieved by UK based traders. The normal categories of value adopted within this market are; NRV and NFOV.
It should be taken as read that, unless specifically stated otherwise, gemstones described in this valuation have probably undergone enhancement treatments. This may or may not have been detected by the appraiser. If and when more obvious treatments to gemstones are detected ( that may have a detrimental effect upon their value) these treatments are usually disclosed and the values ascribed to these gemstones reflect such treatments. However, no responsibility can be accepted should it subsequently transpire that undetected enhancement treatments of gemstones that were not disclosed result in a detrimental effect upon their value.
Whilst every precaution is taken and due diligence observed, the allocation of brand names to watches is not warranted. In recent years, sophisticated forgeries and replicas of high net worth branded watches, sometimes even crafted in precious metals and/or bearing fake hallmarks, have become prevalent and it is almost impossible to distinguish these counterfeit watches from their genuine counterparts without physically opening the cases and observing the movements. This process usually requires the use of specialist equipment, normally supplied to authorized agents and manufacturers warranties are rendered invalid if unauthorized personnel break the seals and open the watch cases. Consequently, unless otherwise stated, no watch cases have been opened by the appraiser and the allocation of any specific brand names have been made solely from examination of the watches from the outside only and such allocation is based upon an experienced view of the likely origin of the watches in question.
Accordingly, no responsibility can be assumed if subsequent dismantling etc disproves these opinions. Wherever possible reference is made to any accompanying manufacturers authenticity certificates, warranties, service and instruction booklets and cases but today all of the aforementioned can also be cleverly forged.
References to condition are as follows. Please note this only affects values ascribed as SHRV and ARV.
Excellent – In the valuer’s opinion the article is in ‘as new’ condition.
Very Good – In the valuer’s opinion, the article is in exceptional condition in relation to its age and does not display any obvious evidence of repairs and/or restorations.
Good – in the valuer’s opinion, the article is in better than average condition in relation to its age and may display evidence of discreet repairs and/or sympathetic restoration.
Fair – in the valuer’s opinion, the article is in average condition in relation to its age and may display evidence of acceptable repairs and restoration.
Poor – in the valuer’s opinion, the article is in lower than average condition in relation to its age and may either display obvious repairs and/or restoration or be in need of repairs and/or restoration.
Very Poor – in the valuer’s opinion, the article is in a dilapidated condition in relation to its age and may have missing or broken components and/or display obvious evidence of poor quality repairs and/or restorations.
Scrap – in the valuer’s opinion, this is when the article is in a decrepit condition and/or is literally falling apart with no possible and/or viable prospect of repair or restoration.
Each item for valuation has been photocopied, scanned or photographed. Colour reproduction in digital images may not be the true colours of the component parts of the jewellery items illustrated. More accurate colour assessments of diamonds and/or gemstones may be referenced in the narrative section of this document. Furthermore, invariably the overall dimensions of the digital images do not replicate the actual size of the pieces illustrated; neither do they necessarily bear any correlation to each other in this respect. The actual dimensions of the items may be referenced in the narrative section of this document. The digital images may be used by the valuer for educational use in talks or media to explain certain characteristics. By agreeing to the valuation the client also agrees to the valuer using the images as discussed.
On site valuations
When property is examined ‘on-site’ (not at the valuer’s premises where there are optimum conditions and a full compliment of testing equipment, cleaning an appropriate lighting) when all reasonably diligent measures are taken using portable equipment and working within the facilities made available to the appraiser when examining, identifying and reporting upon the property appraised, no responsibility can be accepted if subsequent laboratory testing, professional cleaning and/or examination of the property disproves the opinions and assessments stated in this valuation.
Should any detail and/or value stated within this valuation become the subject of dispute and it subsequently transpires that material information relating to that detail and /or value was withheld, the appraiser reserves the right to recall this valuation and make any amendments as may be necessary. In this event, the appraiser shall be entitled to levy reasonable additional fees for the extra work incurred.
No alteration (schedule or copy thereof) to the description or value of any item can be made by anyone other than the valuer and the valuer shall have no responsibility for any such unauthorized alteration.
The rendering of this schedule does not in itself commit the valuer to any further involvement, or involvement in any process of litigation (including attendance in court and giving oral testimony) unless arrangements are made at a reasonable time in advance and such involvement has been commissioned at an agreed customary rate per hour as of that date.
Any accompanying report data, documents, certificates or hallmarks are accepted as genuine and factual and are treated as such on the basis that we do not guarantee their accuracy.
Any liability whatsoever on the part of the valuer is limited to the fee paid for this valuation schedule.
Citizens Statuary Rights are in no way affected by reason of any of these notes to the schedule which are to be interpreted under and are subject to, English Law.
Data Protection and GDPR – The appraiser is registered under the Data Protection Act 1998 and all information stored is protected by a back-up recovery procedure
For the use of this valuation the grading system of the GIA have been referred to. The four key classifications that help determine the value of a diamond are Carat Weight, Colour, Clarity and Cut.
Diamond of D, K and Z colour according to GIA grading. Illustration is for guidance only. Courtesy of GIA.
All items are assessed against Certified comparison stones by an experienced valuer.
These are the proportions to which a gem is fashioned. These are graded from Excellent to poor against an ‘ideal’ cut. Old Cut diamonds are referenced separately.
Carat Weight – Diamonds are weighed or measured and their overall gross weight calculated. The resulting figure is represented in carats. There are 100 points in a carat. E.g if a diamond is determined to weigh 1.23ct it can also be described as 1 carat and 23 points.
Clarity – This refers to the incidence of inclusions and surface blemishes in each diamond. Size, position and number determine the distinction between grades. Final grading is reached by an expert eye using a 10X loupe. The descriptions below are for illustration only.