For the Love of God, Get Engagement Ring Insurance!

What is Engagement Ring Insurance?

Engagement ring insurance works kind of like any other form of insurance. It protects your jewelry from damage, theft, or loss, for a regular premium based on the coverage you elect and the cost and quality of your jewelry. Sometimes, homeowner’s or renter’s insurance will cover jewelry, however there are usually some exceptions. So it’s important to check with your existing insurer specifically. There are also other reputable companies like Jeweler’s Mutual, who’ve been specializing in insuring jewelry for more than a century.

What Does Ring Insurance Cover?

When selecting engagement ring insurance, you’ll want to make sure all potential icky scenarios are covered. We know it’s not so fun to think about, but those scenarios could include: loss, theft, damage, disappearance, and even normal wear and tear. Did your ring fall to the bottom of the lake? Covered. Did it go down the garbage disposal? Covered. Go missing from the latest hot spot hotel? Covered. Diamond chipped while rock climbing? Maybe covered. (Please don’t rock climb with your fine jewelry on.) You get the idea.

Jewelry insured inside and outside of the home is your safest bet to ensure coverage. It’s important to note that depending on your insurance type and carrier, all these scenarios can vary. So be sure you’re paying for the most comprehensive coverage possible.

Engagement Ring Insurance Cost

Like any insurance policy, the cost of engagement ring insurance will vary depending on the item you’re insuring, its cost, and where you live. These factors all play a role in determining your yearly premium. For some good examples and a free quote, check out Jewelers Mutual. Their cost is typically about 1-2% of the cost of your item, so say you have a $5,000 ring, it could cost you as little as $50 per year to insure.

One thing to keep in mind though, is that this “cost of your ring” isn’t based on what you paid for it. It’s based on the retail replacement value, which is typically determined in a jewelry appraisal. And yes, darling, you’ll need one of those as well.

Rather than reflecting a specific retailer’s prices, an independent appraiser will base the retail replacement value on the qualities and characteristics of your individual piece of jewelry. The other factor to consider that might affect what you pay in a premium is the deductible you choose. (This is the amount of money you pay out-of-pocket if/when you file a claim.) Just like health insurance, the higher deductible you choose, the lower your annual premium should be.

What Does Engagement Ring Insurance Exclude?

Coverage for your engagement ring will depend entirely upon your insurance carrier’s policies. However, there are some common exclusions to keep in mind (or find someone who does cover them). This includes: normal wear and tear that happens over the life of the ring such as a bent prong, stone tightening, or a repolish.

Looking for coverage for damage due to negligence or improper care? You might be out of luck. So make sure that you’re having your engagement ring regularly checked for stone security. You can also safeguard it by not wearing it during heavy activities, and so on. Many insurance companies also don’t cover mysterious disappearances. I.e you don’t have the first idea where you could have left it and you simply can’t find it. And finally, jewelry market value changes. Because no one can account for the economy, babe.

Tips for Insuring Your Engagement Ring

So, first thing’s first when it comes to purchasing jewelry insurance successfully. Obviously you need to buy a ring. Next step, you’ll want to obtain an independent appraisal. Many retailers provide an appraisal with the purchase of your jewelry, which can do the trick, however it’s great to have an independent appraiser take a look to ensure that you’re really getting what you paid for and that all the qualities of your jewelry line up correctly.

You can look up a local appraiser, and make sure they have the correct certifications, or find one through a reputable appraisal association like the American Gem Society, the National Association of Jewelry Appraisers or Gemological Institute of America. To get the most accurate appraisal done, bring with you any documentation like your receipt, diamond grading certificates, and the jewelry itself.

Note that appraisal fees should never be based on a percentage of your jewelry’s value, as this is highly unethical. Rather, look for someone who offers a flat fee or hourly rate based on the complexity of your ring and how much work is involved. You should always maintain all of your documentation and have your ring re-appraised every couple of years to reflect current market values.

Should You Buy Stand-Alone Jewelry Insurance?

As we mentioned, there are a few different ways to obtain engagement ring insurance. While many standard homeowners and renters insurance policies may cover jewelry, it often is up to a certain limit which may or may not fully replace your item. What’s more, there are typically many things excluded from coverage.

You can, instead, add what’s called a “rider” to your insurance policy, aka “scheduling an item”, which insures a specific item at an additional cost. Yes, this will raise the cost of your policy (but you’re going to pay, regardless). This might also enable coverage for accidental loss, offer a low or no deductible, and be lower cost than a separate policy. Or you can go with standalone jewelry insurance that is more specific to your jewelry, separate from your other insurance, as discussed above.

Who Should Insure an Engagement Ring?

If you think your engagement ring isn’t worth insuring, you’re wrong. Engagement ring insurance is for everyone, and every ring. Unless, of course, you don’t mind paying out of pocket for a brand new one if you lose or damage your ring, or, someone steals it. Will insurance help heal your broken heart over the sentimental value of your ring? No, of course not. But it will prevent adding insult to injury by protecting your financial investment.

And don’t just assume your homeowners or renters policy will cover your engagement ring -much of the time insurance companies offer a much lower sub-limit for jewelry, so be sure to inquire with your insurance agent. Ultimately, just in case we haven’t been clear yet, you should get engagement ring insurance. You’re likely spending a significant chunk of change on this super meaningful piece of jewelry, so protect it with a little something extra and you won’t regret it. Just make sure that you’re making an informed decision about who to insure with and what that insurance covers.

Want to Get Back to Diamonds?

Okay, okay, now that you’ve heard us out, we’ll set you free to explore our collection of diamond engagement rings. Need a little more virtual hand holding? Our team of jewelry connoisseurs is always at the ready. Just email us at hello@frankdarling.com with what you’re looking for and we’ll be happy to help!