The most important factor in determining the cost of watch insurance is the value of your watch.
For instance, the cost of insurance for a $300 watch is significantly lower than the cost of insurance for a $10,000 watch.
The cost will also be determined by the provider you select, your coverage limit, and location.
Jewelers Mutual says that its policies typically cost between 1% and 2% of the watch’s value to give you an idea of what you might pay.
That implies that a $10,000 watch could cost $100 to $200 to protect, while a $4,500 watch could hamper you $45 to $90 each year.
When the cost of repairing or replacing the watch is greater than the cost of the insurance over several years, it makes sense to purchase watch insurance.
Take the case of the $5,000 watch above. If insurance costs $50 to $100 per year, it would take 50 to 100 years before you paid back the watch’s full value.
In contrast, if something were to happen and you didn’t have insurance, you might have to pay the full price tomorrow.
