Question on Insuring Rolex Sports Model bought from AD

[mjwalter80]

Originally Posted by dannyp

Also depends on what you'd want it replaced with. If you insure something purchased BNIB from an AD at MSRP, JM will automatically update the reference and MSRP to current every year. If you're fine with receiving the current version should you incur a loss, then no reason to deviate from that system.

That is really good information! thanks

[rlj676]

Does JM insure replacing the piece or write a check?

I’ve got a Daytona and my AD wouldn’t appraise at market since it’s current production. However they also told me if I lost it that’s the only one I’m getting from them lol.

[shaunylw]

I insure for what it would cost to replace using Hodinkee/Chubb.


Sent from my iPhone using Tapatalk

[Hawk44]

I went with Hodinkee after hearing a few horror stories about JM.

I do have JM for my wife’s jewelry though

[NardinNut]

Hodinkee (which is Chubb coverage) all the way. It’s insurance for watch collectors. No BS approach, covers everything (theft, loss, damage, pissed off ex hitting with mallet, etc), covers 150% of true market value. Another benefit is when selling and shipping a watch you don’t need to pay for insurance on shipping as that’s covered too. Easy to get, cancel, or change policy when buying and selling watches often. No appraisal needed. All done thru the Hodinkee app.

[JSol1]

I originally had all jewelry and watches with JM. However after doing a bit of research I moved all of my watches that are in the high appreciation category (Sub, BLNR etc) to Hodinkee because you can set the value yourself and if you have multiple pieces insured they will offer up to 150% of the agreed value. This only works if you have multiple watches insured because they cap this at the total appraised value you have with them. JM will only give you current market value and will generally work to get you a replacement (not cut a check)…this is all in theory though because I’ve been fortunate enough to not filing a claim…

[OrangeSport]

Originally Posted by padi56

Like all insurance no matter the company they are only as good as what they pay out to, and they will always in most cases pay out the cheapest option for replacement.

This was my point.

I can't image any company paying out inflated prices on a current model. Surely they would pay out MSRP, however much over that you insured it for?

[BillA]

Originally Posted by Mendota

I was told by my AD that if you are working with them to replace a stolen piece they give you top priority for sure and they will even help you source one out in the marketplace if it's a discontinued piece.

If you believe that, I have a bridge for you.

[DonRickles]

It's always a complete loss that's discussed relating to insurance......but has anyone ever had success collecting from an insurance company for a loss in value, due to damage/service repairs?

After a warranty repair my WG Daytona (52 days on my wrist) was traded in, the day it arrived in my hand. It was to be repaired, by Rolex at Dallas RSC back to it's "brand new" condition. BUT, I took a huge loss when trading it in, roughly 4k. My insurance company LM, denied a payout for the loss in value.

[OrangeSport]

Originally Posted by DonRickles

It's always a complete loss that's discussed relating to insurance......but has anyone ever had success collecting from an insurance company for a loss in value, due to damage/service repairs?

After a warranty repair my WG Daytona (52 days on my wrist) was traded in, the day it arrived in my hand. It was to be repaired, by Rolex at Dallas RSC back to it's "brand new" condition. BUT, I took a huge loss when trading it in, roughly 4k. My insurance company LM, denied a payout for the loss in value.

How did it drop so much if it was back to new?

[DonRickles]

Originally Posted by OrangeSport

How did it drop so much if it was back to new?

Buy gold, sell lead......


I lost my faith in the piece, odd perhaps to many, but for the initial price I paid, wearing a repaired watch, wasn't going to happen......

I traded it in on the same reference, at the same AD.......This was, way above what other AD's offered......

[beshannon]

Originally Posted by shaunylw

I insure for what it would cost to replace using Hodinkee/Chubb.


Sent from my iPhone using Tapatalk

Originally Posted by Hawk44

I went with Hodinkee after hearing a few horror stories about JM.

I do have JM for my wife’s jewelry though

Originally Posted by NardinNut

Hodinkee (which is Chubb coverage) all the way. It’s insurance for watch collectors. No BS approach, covers everything (theft, loss, damage, pissed off ex hitting with mallet, etc), covers 150% of true market value. Another benefit is when selling and shipping a watch you don’t need to pay for insurance on shipping as that’s covered too. Easy to get, cancel, or change policy when buying and selling watches often. No appraisal needed. All done thru the Hodinkee app.

I am slowly switching everything over to Hodinkee/Chubb

[DonRickles]

Originally Posted by NardinNut

Hodinkee (which is Chubb coverage) all the way. It’s insurance for watch collectors. No BS approach, covers everything (theft, loss, damage, pissed off ex hitting with mallet, etc), covers 150% of true market value. Another benefit is when selling and shipping a watch you don’t need to pay for insurance on shipping as that’s covered too. Easy to get, cancel, or change policy when buying and selling watches often. No appraisal needed. All done thru the Hodinkee app.

See my post. NOT "completely" covered as in my example.....

[OrangeSport]

Originally Posted by DonRickles

Buy gold, sell lead......


I lost my faith in the piece, odd perhaps to many, but for the initial price I paid, wearing a repaired watch, wasn't going to happen......

I traded it in on the same reference, at the same AD.......This was, way above what other AD's offered......

Yeah, I can't see insurance covering standard depreciation

[NardinNut]

Originally Posted by DonRickles

See my post. NOT "completely" covered as in my example.....

You stated your insurance company as “LM”, assuming that’s Liberty Mutual. Not same as Hodinkee. I recommend contacting Hodinkee about their coverage and run that scenario past them. You might be surprised by their answer. As example, my father dropped his brand new DJ TT and shattered the crystal. Cost him a couple grand to repair. I asked them about that scenario and it would have been fully covered. Send receipt for repairs and they send you check. I bet LM wouldn’t do that or be that easy. I’m not a huge fan of Hodinkee in general, but they’ve created the best insurance coverage for watch collectors and I give them huge props (and my money) for that. Added bonus that it’s insurance back by one of the best PC insurers in the industry (Chubb).

[NardinNut]

Originally Posted by OrangeSport

Yeah, I can't see insurance covering standard depreciation

Absolutely correct if it’s basic deprecation. If it’s depreciated due to damage then I believe it would be covered, or at least costs for repairing to original condition would be covered.

In his situation it sounds like the AD low balled the trade in value (assuming the watch was repaired to original condition).

[DonRickles]

Originally Posted by NardinNut

You stated your insurance company as “LM”, assuming that’s Liberty Mutual. Not same as Hodinkee. I recommend contacting Hodinkee about their coverage and run that scenario past them. You might be surprised by their answer. As example, my father dropped his brand new DJ TT and shattered the crystal. Cost him a couple grand to repair. I asked them about that scenario and it would have been fully covered. Send receipt for repairs and they send you check. I bet LM wouldn’t do that or be that easy. I’m not a huge fan of Hodinkee in general, but they’ve created the best insurance coverage for watch collectors and I give them huge props (and my money) for that. Added bonus that it’s insurance back by one of the best PC insurers in the industry (Chubb).

Actually, my agent is also a huge Rolex fan/owner...! He called JM too, they agreed no payout. I'd argue, that the amount I lost was due to damage as this reference was selling way over MSRP.....

Originally Posted by NardinNut

Absolutely correct if it’s basic deprecation. If it’s depreciated due to damage then I believe it would be covered, or at least costs for repairing to original condition would be covered.

In his situation it sounds like the AD low balled the trade in value (assuming the watch was repaired to original condition).

Several AD's did low ball at close to 11k off MSRP.....This is just an example where the owner will not be "reimbursed" for loss from damages.

[NardinNut]

Originally Posted by DonRickles

Actually, my agent is also a huge Rolex fan/owner...! He called JM too, they agreed no payout. I'd argue, that the amount I lost was due to damage as this reference was selling way over MSRP.....

Several AD's did low ball at close to 11k off MSRP.....This is just an example where the owner will not be "reimbursed" for loss from damages.

I completely disagree here. You stated the watch was repaired to original condition by RSC. You then traded in at an AD, who never pay market value. If the watch was in perfect, functioning, original condition, and has the added extended warranty the RSC provides after their work, you would have likely received full market value if you sold on your own in the market. However, if you trade in a watch at AD, or grey dealer, you’ll never get full market value, regardless of the history. This has absolutely nothing to do with insurance. It’s the way the free market works.

On the other hand, if you can prove that the watch has suffered a deprecated value AT MARKET RATE, not trade in, due to damage then I’d wager Hodinkee coverage will cover that. Call them and find out

[DonRickles]

Originally Posted by NardinNut

I completely disagree here. You stated the watch was repaired to original condition by RSC. You then traded in at an AD, who never pay market value. If the watch was in perfect, functioning, original condition, and has the added extended warranty the RSC provides after their work, you would have likely received full market value if you sold on your own in the market. However, if you trade in a watch at AD, or grey dealer, you’ll never get full market value, regardless of the history. This has absolutely nothing to do with insurance. It’s the way the free market works.

On the other hand, if you can prove that the watch has suffered a deprecated value AT MARKET RATE, not trade in, due to damage then I’d wager Hodinkee coverage will cover that. Call them and find out

I'm not disagreeing with you on "regular depreciation", but this is a very fine line.....IMO, a repaired 40k watch after less than 2 months old, has a diminished value due to damage. Yes RSC "repaired" it but if you'd have seen it's "repaired condition", I'll guarantee you'd agree with me. I didn't recognize it on it's return, it was scratched up from top to bottom, like it was in a tray and shaken for weeks.....I bit the bullet and moved on.....

[Calatrava r]

I insure for what I pay on watches in production. Seemingly, if its a covered loss, no fault of mine, the carrier and the AD should be happy to work together to get me another watch at retail ASAP. Pre-owed market is too volatile and could drop quickly. Plus, if you bought from an AD you bought a new watch not a pre-owned watch. Replacing the loss with a used watch is not what I had.

[Mendota]

Originally Posted by BillA

If you believe that, I have a bridge for you.

No need to try to flip said bridge. I just got more info from my AD. Not as promising as I had remembered.

OK, so in the case of theft, they will try to order a replacement for you if they can. Not all pieces can be ordered and some are allocated.

For discontinued pieces they said they can try to help you source a replacement out in the open market. At that point you might as well use any trusted sellers here or Chrono24 or watch recon.

Sent from my SM-G986U using Tapatalk

[shaunylw]

Originally Posted by Calatrava r

I insure for what I pay on watches in production. Seemingly, if its a covered loss, no fault of mine, the carrier and the AD should be happy to work together to get me another watch at retail ASAP. Pre-owed market is too volatile and could drop quickly. Plus, if you bought from an AD you bought a new watch not a pre-owned watch. Replacing the loss with a used watch is not what I had.

I don’t think your carrier and Patek are going to replace your Aquanaut for you at retail. Patek is not going to allocate two of the same Aquanaut. I would insure it at current market price, or be ok with not having one if something is to happen.


Sent from my iPhone using Tapatalk

[dannyp]

Originally Posted by Mendota

No need to try to flip said bridge. I just got more info from my AD. Not as promising as I had remembered.

OK, so in the case of theft, they will try to order a replacement for you if they can. Not all pieces can be ordered and some are allocated.

For discontinued pieces they said they can try to help you source a replacement out in the open market. At that point you might as well use any trusted sellers here or Chrono24 or watch recon.

Sent from my SM-G986U using Tapatalk

Did they say anything insofar as priority (such as a piece with a long waiting list), whether Rolex will ever allocate additional pieces in those circumstances or whether it matters who the insurer is (some having more pull than others)?

Originally Posted by shaunylw

I don’t think your carrier and Patek are going to replace your Aquanaut for you at retail. Patek is not going to allocate two of the same Aquanaut. I would insure it at current market price, or be ok with not having one if something is to happen.


Sent from my iPhone using Tapatalk

I would think that it is all about the relationship your carrier has with your (or any) AD, and the relationship that AD has with PP.

Would also depend on whether PP has a particular stance on the importance of helping people replace stolen/lost pieces.

[rkny]

Would love some clarification on Hodinkee. I’m reading conflicting info here. I insured my Sub ND 41 with them for $12.5K. Am I wasting my money insuring that high (market value) or should I just insure for MSRP (and should I add tax?) if they indeed pay out up to 150%?

[ronricks]

Originally Posted by rkny

Would love some clarification on Hodinkee. I’m reading conflicting info here. I insured my Sub ND 41 with them for $12.5K. Am I wasting my money insuring that high (market value) or should I just insure for MSRP (and should I add tax?) if they indeed pay out up to 150%?

Insure that model at msrp plus tax. It’s still in production and your insurer will help you get another one through their dealer channels.

[rkny]

Originally Posted by ronricks

Insure that model at msrp plus tax. It’s still in production and your insurer will help you get another one through their dealer channels.

Just got off the phone with Hodinkee and your information appears to be incorrect.

I was told Hodinkee in fact does not do anything towards obtaining you a new watch, beyond cutting you a check. The person I spoke to said that the idea that they would help procure you a replacement modern watch at MSRP is a “fallacy”.

Secondly, if you have only one watch insured with them, the payout cap is equal to the total insured value. So if you insure only one watch, for an MSRP of say $8000, the most you will be covered for is $8000.

To qualify for 150% coverage, you would need to insure an additional watch for $4000, to meet the coverage threshold of 150%, or $12K. This means if you lose the $8K watch and the market value for replacement is $12K, you are covered for the $12K. But if you only insure one watch, the coverage is capped at whatever value you set initially.

[Boopie]

Our watches are insured through our homeowners’ valuable personal property policy. We insured them for market value more or less, especially since none of the watches are actually made today (eg 16710, 169622), so we couldn’t walk into an AD and actually replace them. The premium is based on the insured value, so of course we are paying more for the higher market value.

We don’t have any watches like a Nautilus or Platona where there is a massive delta between market value and sticker price. If I did have a watch like that, I wouldn’t dream of taking them out in public if they weren’t insured for market value. That would be a tremendous loss to absorb, more than most cars are worth.

I hope never to have to make a claim, but my understanding is that I would just give the insurance company a police report and they’d write a check for the insured value.

[koronet-kid]

Originally Posted by OrangeSport

This was my point.

I can't image any company paying out inflated prices on a current model. Surely they would pay out MSRP, however much over that you insured it for?

I am in the UK I have an email from my AD stating they cannot say if or when they would ever be able to replace my GMT (Pepsi) I have used this along with a valuation certificate from an independent dealer & my own research, and I have the watch insured at its market value also my other professional models are insured in the same way and the values are written in my policy, so it can be done the whole point of insurance is to put you in the same position you were in prior to your loss, if your AD who you have been a customer of for 18 years won’t sell you the same watch twice how else can you replace it, other than at current grey value