What is required for Lydia's Fine Jewels to qualify for their insurance policy?

To qualify for their insurance policy, Lydia's Fine Jewels likely needs to implement specific security measures that reduce the risk of theft or loss of valuable items. The requirement for a security guard on the premises 24/7 reflects a high level of security that insurers commonly seek, particularly for businesses dealing with high-value goods like jewelry. Such a measure not only deters theft but also enhances the overall safety of the premises, making it a practical condition for obtaining or maintaining robust insurance coverage.

The presence of a full-time security guard can significantly lower potential insurance claims and risks associated with burglary, providing peace of mind to both the business and the insurer. This requirement is often part of an underwriter’s evaluation of the risk they are willing to insure, as it demonstrates a proactive approach to security by the insured.

Regular safety audits, installation of high-tech alarms, and annual inventory assessments are also important, but they generally relate to ongoing risk management and maintaining the terms of an insurance policy rather than serving as primary qualifiers for securing coverage.