What is a common limitation for jewelry coverage in a standard Homeowners Policy?

In a standard Homeowners Policy, jewelry coverage often has limitations, and it is common for this to be set at approximately $1,500 for theft or loss. This limit applies to personal property coverage that includes jewelry, as most standard policies do not provide full coverage for high-value items like jewelry without additional endorsements or riders.

The rationale behind this limitation is due to the high value that such items can hold, which makes them more susceptible to loss or theft. Homeowners insurance is designed to cover a wide range of personal property, but specific valuable items are often capped to prevent significant losses from affecting the overall risk for insurers. This is why many homeowners opt to purchase additional coverage for valuable items, such as a scheduled personal property endorsement, that can provide extended coverage beyond the standard limits of a Homeowners Policy.