Discount: “Alarm System Discount for Jewelry Policies”

I installed a $2,000 Vivint security system with cameras and glass break sensors. I called my jewelry insurer (Jewelers Mutual) to get my discount. They knocked $12 off my $300 annual premium. I spent $2,000 to save $12.

Key Takeaways

  • Discounts are Small: Jewelry insurance premiums are already low (~1-2% of value). A 5% discount on a $300 policy is $15. Don’t buy an alarm just for the jewelry discount.
  • Homeowners Discount is Bigger: The alarm discount applies to your entire home policy premium (dwelling + contents). That is where the real savings are (often 10-15%).
  • The “Warranty” Risk: If you take the discount, you warranty that the alarm is active. If you forget to set it and get robbed, they can deny the claim. (See Article 1 in Studio series). Sometimes it’s safer not to take the discount to avoid this trap.
  • Safe Discounts > Alarm Discounts: For jewelry, insurers prefer safes (TL-15) over alarms. A safe physically stops the theft; an alarm just announces it.

The “Why” (The Trap)

The trap is “Conditions of Coverage.”

Taking the $12 discount adds a “Protective Safeguards” clause to your policy.
Now you must use the alarm.
Is saving $12 worth the risk of a denied claim if you forget to arm the system once?
For many people, the answer is no.

The Investigation (My Analysis of Savings)

I ran the math on discounts.

Jewelers Mutual

  • Alarm Discount: ~2-5%.
  • Safe Discount: ~5-10% (depending on rating).
  • Vault Discount: ~50% (Bank vault).

Lavalier

  • Alarm Discount: Minimal. They focus on the item value.

Comparison Table

Security MeasureInstallation CostAnnual Savings (Jewelry)Risk of Warranty Breach
Central Alarm$500+Low ( 10−10− 20)High
Local Alarm$100$0None
TL-15 Safe$1,500Medium ( 30−30− 50)Medium
Bank Vault$50/yrHigh ($150+)Low

Step-by-Step Action Plan

  1. Ask “How much?”: Before applying the discount, ask the agent the exact dollar amount.
  2. Decline if Low: If it saves you $10, tell them “Remove the discount. I don’t want the warranty clause.”
  3. Apply to Homeowners: Apply the alarm certificate to your Home insurance instead. The savings there are real.
  4. Get a Safe: A safe protects the jewelry better than an alarm. Just don’t lose the combination.

FAQ

Does a Ring doorbell count?
Usually no. They want “Central Station Monitoring” (police dispatch).

What if the alarm malfunctions?
You must notify the insurer immediately.

Can I get a discount for a gated community?
Sometimes, yes. It lowers theft risk.

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