A jewelry appraisal may be used for a variety of reasons, including determining a fair and accurate market value for precious metal and gemstone items that you may already own.
But to get your jewelry appraised it is important to learn and know what it means, how it works, and moreover, how it is different from jewelry grading.
What Exactly Does Jewelry Appraisal Mean?
A jewelry appraisal is a procedure that results in a document that defines the object in detail, assesses the quality of the individual aspects, and provides a monetary value to the item under consideration.
Weight, materials, and marks are all included in the description of the piece of jewelry, as are observable and quantifiable characteristics of the item of jewelry. Subjective characteristics such as the quality of the gemstone and the overall quality of the piece’s design and manufacture are also often considered when evaluating a piece’s value.
It may also be necessary to specify the fair market value (for tax reasons) or the replacement value (for insurance purposes) in addition to the liquidation value (for bankruptcy or company dissolution) depending on the reason for the jewelry appraisal.
In addition to having a clear description of the grading procedure, appraisals will be signed or an official seal will be applied by the appraiser, along with any professional credentials they may possess, after they are completed.
It is recommended by insurance companies that appraisers do assessments for valuable items of jewelry every five years or so, since the values of diamonds, gemstones, and precious metals may fluctuate significantly during that period. Because an insurance company will use the appraisal to verify ownership and will replace the item based on the value provided on the appraisal, you should seriously consider following this recommendation.
How Does Jewelry Appraisal Work?
In order to get a jewelry appraisal, you must first have a clear knowledge of why you are seeking one in the first place. Is it for insurance considerations, or is it because you’re thinking about putting the item on the market?
This will assist you in selecting the most appropriate appraiser for your requirements. You will need either a gemologist appraiser who has received specialized training in gem appraisal or an antique jewelry appraiser who understands the intrinsic worth of your item based on factors such as rarity, provenance, or the work of a particular designer.
Visit one of the main professional organizations with members all around the globe, and you will be able to select the right appraiser for your needs. The best ones are given below-
- The American Gem Society – These appraisers are trained gemologists who can determine the worth of jewelry that has stones put in it.
- International Society of Appraisers – Gain access to appraisers who specialize in anything from antique jewelry to one-of-a-kind ethnic or cultural objects, among other things.
- Appraisers International Society – These appraisers specialize in all forms of jewelry and cover the whole United States and the globe.
The availability of appraisers near you may be limited, but you may have greater success locating an appraiser who works online.
Before agreeing to have any work done, be certain that you understand the service being offered and that the fees associated with the evaluation are fully explained to you. It is possible that your insurance provider will have certain certification criteria for an appraisal in order for it to be considered legitimate if you are seeking one for insurance reasons.
Some jewelry appraisers offer a set price, while others charge on an hourly or daily basis. You might end up paying a significant amount for an appraisal, depending on how comprehensive and sophisticated your items are. Working with an appraiser that charges a fee based on the worth of your artwork is not a good idea. It is evident that there is a conflict of interest. Find another person to collaborate with as soon as possible.
In other situations, appraisers may analyze your work in front of you as you wait for them to complete their appraisal. This safeguards you and your partner against loss, damage, or misinterpretation. Most of the time, you should be prepared to leave your work in the care of the jewelry appraisal profession. You will be required to complete an intake form, which will essentially describe the item being appraised and will provide a general estimate of how much the item is worth if it is lost or destroyed.
Differences Between Jewelry Appraisal And Jewelry Grading
It’s critical to grasp the difference between a jewelry appraisal and jewelry grading in order to avoid confusion. An appraisal will provide specific information regarding the item of jewelry in question, as well as an estimate of its future worth.
If you purchase a diamond and obtain a grading report, such as one from the GIA or the AGS, you will receive thorough information on the carat weight, cut, color, and clarity of the diamond (collectively known as the Four Cs). The second significant difference is that, unlike an appraisal, a grading report does provide an estimate of a financial value, but an appraisal does not.
Despite the fact that appraisers have a plethora of tools at their disposal, they are not as consistent in their analyses as grading labs are in theirs. In a lab, specialists operate for a single firm under the strict restrictions and limits that have been set. Professionals that do appraisals might work on their own or as part of a larger jewelry firm. They can also work independently from a client.
A gem’s genuineness may also be verified via the use of a grading report. However, since the grading report is subjective and is dependent on the lab standards in which the gem is tested, there might be variations in grading results across different laboratories at times.
Many grading reports also contain a graphic showing inclusions (flaws) that may have an impact on the way light is reflected from a diamond’s surface. Inclusions may be found in almost all gemstones, however, how they are interpreted varies from lab to lab. Exceptionally clear diamonds are extremely uncommon, accounting for less than one percent of all completed diamonds.