Loose Items: “Vacuumed Up a Diamond Earring: Bailee Coverage.”

I was vacuuming a carpet. Clink-rattle. I emptied the canister, sifting through the dust. I found the earring, but the post was bent and the diamond was missing. The customer says it was a 2-carat Tiffany stud worth $8,000. She accuses me of “Gross Negligence” for not checking under the seat.

Key Takeaways

  • Bailee Coverage: This covers property of others that is in your care (the car) and the contents inside. However, most policies have low sub-limits for “Personal Effects” (e.g., $500).
  • Jewelry Exclusions: Almost every policy excludes or severely limits coverage for jewelry, cash, and furs. An $8,000 earring is likely excluded unless you have a specific high-value rider (rare for detailers).
  • “Care, Custody, Control”: General Liability denies this because you had custody of the car.
  • The “Check First” Protocol: Your only real defense is proving you followed a protocol of bagging loose items before vacuuming.

The “Why” (The Trap): “Personal Effects” Limits

Insurers know people leave expensive stuff in cars.
To protect themselves, Garage Keepers policies usually limit coverage for “Personal Effects” to a nominal amount (like $200) or exclude them entirely to prevent fraud.
If a customer claims you vacuumed up a Rolex, the insurer points to the “Jewelry Exclusion” and denies the claim.

The Investigation: “I Called Them”

I asked adjusters about the lost diamond.

1. Garage Keepers

  • Verdict: “We cover the car. We don’t cover loose contents unless caused by theft of the entire vehicle.”

2. General Liability

  • Verdict: Denied. Care, Custody, Control.

3. Homeowners Insurance (Customer’s)

  • Verdict: The customer’s own homeowners/renters insurance usually covers “Personal Property Off Premises.” They should file a claim there.
  • Strategy: Advise the customer to file with their carrier. Their carrier might subrogate against you, but your policy exclusion will likely hold up.

Comparison Table: Loose Item Liability

Item Lost/DamagedDetailer Insurance PayoutCustomer Homeowners Payout
Phone Cable$0 (Under deductible)$0
Diamond Ring$0 (Excluded)Yes (Subject to appraisal)
Cash ($500)$0 (Excluded)Maybe

Step-by-Step Action Plan

  1. Stop Vacuuming: Immediately empty the bag/canister onto a white sheet. Sift through everything. Finding the stone saves you $8,000.
  2. The “Bag & Tag” Rule: Before touching a vacuum, remove all loose items, put them in a clear ziplock bag, and place it on the dash. Photograph it.
  3. Waiver Clause: “We are not responsible for personal property left in the vehicle. Please remove all valuables.”
  4. Refer to Their Insurance: Politely explain: “My business insurance covers the vehicle structure. Personal items like jewelry fall under your homeowners policy.”

FAQ

Q: What if I break their sunglasses sitting on the seat?
A: That is “Voluntary Property Damage.” If you have that rider, it might pay $200. Otherwise, buy them new glasses cash.

Q: Can I require them to empty the car?
A: Yes! Charge an “Excessive Debris/Personal Items” fee if you have to empty it for them.

[IMAGE: Photo of a Ziplock bag labeled “Customer Items” containing coins and pens.]

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