What is the difference between agreed value and actual cash value for jewelry insurance?

Agreed value means you and the carrier set the insured value at policy inception and that amount is paid in full for a total loss, with no depreciation argument. Actual cash value depreciates the jewelry based on age and wear and pays less than the insured amount. For jewelry, agreed value is strongly preferred because market value and replacement cost can diverge significantly from depreciated value. Jewelers Mutual writes agreed value by default. A homeowners jewelry endorsement typically pays ACV, which is one reason standalone jewelry policies provide better protection.