What requirement must Lydia's Fine Jewels meet to qualify for an insurance policy?

To qualify for an insurance policy, particularly for a business like Lydia's Fine Jewels which deals with high-value items, the requirement that is often considered most critical is the need for a security measure that can provide ongoing physical protection and deterrence against theft. Hiring a security guard on the premises fulfills this role effectively, as guards can monitor activity, respond to incidents in real-time, and be a visible deterrent to potential thieves.

While other options, such as installing surveillance cameras or having a safe on-site, are also important components of an overall security strategy, the presence of a security guard adds an additional layer of human oversight that can be pivotal during business hours. This direct, proactive approach to security can fulfill the expectations of insurers, who often seek not just physical security measures but also immediate human intervention capabilities to help mitigate losses.

Maintaining a security system, while valuable as part of the overall security plan, typically refers to electronic measures, which may not provide the same immediate response as a physical presence. Therefore, having a security guard is often regarded as a more effective prerequisite for securing an insurance policy for a business handling jewelry and other high-value items.