• 26 August 2022

It is a mark of exceptional distinction, a symbol of character and success. Your luxury watch does much more than tell time: it tells everyone who sees it that the wearer is an individual of note. It is a valuable treasure which must be protected, but the big-name High Street insurers won’t touch it.

Very few will offer cover for a watch valued at £2,000. Even fewer will cover a £20,000 timepiece. So who insures luxury watches?

The question is important, since luxury watches are increasingly valuable. A 2021 report by RealReal found that the average resale value of watches was up an astonishing $1,600 compared to 2020. McKinsey reported that the world-wide second-hand luxury watch market is set to soar from $18 billion in 2018 to $30 billion by 2025. Meanwhile, the market for new high-end watches is also booming, at $7.48 billion in 2020, set to rise to $9.28 billion by 2025. It’s a huge value at high risk of being forgotten, lost, pilfered, or smashed, which is why normal insurers have no appetite to cover luxury watches.

Who insures expensive watches?

Happily at Miller Private Clients, we’ve got it covered. Our underwriters will quote around the risk, and even provide insurance as part of a buildings and contents package. All that’s needed is a recent valuation. Best of all, cover from Miller is intended to ensure you are placed immediately back into the same position you were in before the claim, regardless of changes in the cost or availability of a replacement. That’s critically important.

One Patek Philippe we insure was purchased for £30,000, but it is now worth £150,000. For some luxury watches, the waiting list for buyers is measured in years. Miller’s policies can take these inflationary factors into account by providing ‘extended replacement’ coverage. That means they will pay the cost of replacement or repair plus a percentage of the value of the watch as specified in the policy, to ensure you have exactly the same timepiece as the one that was lost or damaged.

Do I need a broker to insure my watch?

Anyone with a luxury watch needs a specialist insurance broker who knows the detail. Miller Private Clients has extensive knowledge of the multibillion dollar watch market, and understands the increasing values of specific watches. That’s a huge advantage for our clients: we know the importance of their wearable investment. We also know the details of various insurance policies, and ensure our clients do not fall afoul of them.

Is my luxury watch insured when I’m not wearing it?

For example, policies may include security clauses. One we sometimes see is a personal custody clause which states that if you take your watch off it must remain in the same place as its owner – not in the kitchen while the owner is in bed – or else in an appropriate, heavy safe. Alarms may be required, or regular appraisals. Insurance buyers who receive clear advice, explanations, and the support of an expert broker know exactly where they stand on these ‘risk management’ measures.

Can I insure my watch online?

Your luxury watch won’t be adequately insured under an average-Joe insurance policy. Fortunately, though, the peace of mind that comes with knowing you have it properly covered is only a few clicks away. Cover from Miller brings the comfort of ensuring your valuable horological treasures will be thoroughly protected with coverage from a reputable insurance company.

It’s available 24/7, so visit us now at Miller Private Clients for an instant quote.

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