Should You Insure Your Engagement Ring?


An engagement ring is a valuable piece of jewelry; it is valuable for more reasons than the fact that you spend money on it. Your engagement ring is attached to many memories and is special, just like many of your priceless valuables it probably has a great deal of emotional attachment. If an insurance policy is something that can protect your special item, then why would you not invest in that protection?

On average, the price of an engagement ring runs from $5,900 to something only the rich and famous are able to afford to buy. Theoretically, you could purchase a used vehicle for that price. Would you get insurance on your used vehicle? Probably and that means that you should probably purchase insurance to cover the investment made on an engagement ring as well.

Read Your Current Insurance Papers:
Sometimes, jewelry is covered through renters or homeowners insurance policies. These policies typically protect you by covering the value of the items in your home. However, this coverage is often limited. In many cases, jewelry coverage would be limited to a certain sum. Further, homeowners or renters insurance is not likely to cover lost or damaged jewelry.

There are often extensions that can be purchased through your current homeowners or renters policies that would have better coverage of your engagement ring. In this event, there is typically someone who reviews the total value of what you want to have covered. This would eliminate the need to pay a deductible on that item as well.

The Fine Print:
When you begin searching for engagement ring insurance, you will want to take a good look at the fine print that each provider offers in their policy.

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Coverage:
Your policy will ideally cover every possible situation that you can imagine happening to your engagement ring. It should include stolen property and even an accidental flush down the toilet. If you notice that a scenario is missing, be sure to speak up and talk to the agent selling you the policy.

Replacement Procedure:
Before you sign a policy be sure that you understand the procedure for replacing a lost or stolen ring. Will the company look for a replacement? Will you be limited to purchasing from a particular jeweler? Will you be able to get a check and shop for a replacement on your own? Each of these questions is important to understand before you sign up.

Value Assessment:
You should definitely fully understand the way the value of the item is determined through your insurance company. Are they going to use an appraisal? Will they consider the original purchase price? All of these factors will affect the way in which you are reimbursed when you
have to use your insurance policy for the first time to make a claim.

Appraisal:
Jewelry is one of the rare things in life that becomes more valuable as it ages. This means that there are many jewelers that offer appraisal services that allow you to have a firm understanding of the current value of your ring.

Many of the insurance providers will require that you have your ring appraised by a professional before you can be covered by their policy. These appraisals can be done fairly quickly and not generally very expensive to have done.

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So, You Have your Policy:
Once you have your insurance policy in place, be sure to keep the information somewhere that is safe and easy to access. You should be very familiar with the ins and outs of your policy by now, so hopefully you know what documents you will need in order to file a claim through the insurance company if anything happens.

Over time, the value of precious metals (like gold) and fine jewels (like diamonds) change. You would be wise to repeat an appraisal of any insured jewelry every few years and update the copy on file with your insurance company. This is a sensible way to make sure that the value of the ring is fully recognized with the insurance company.

If you are thinking of purchasing an engagement ring, or have already purchased one then you probably know that it can be quite an investment. With any major investment it is wise to make sure that the investment is adequately covered through a comprehensively worded insurance policy to keep you safe.

While your homeowner’s or renter’s insurance might cover some of the cost regarding damage to your engagement ring, your best bet is to purchase your ring with its own policy. By doing so, you make sure that the full value of the ring is covered in case of any loss or damage.