An engagement ring can be seen as an investment. The simple reason is that you spend a lot of money on it and it is also worth money for it if you ever try to sell it. You definitely do not want to lose it because it will cost a lot of money to replace it. That is why there is engagement ring insurance.
In this article, we will explain the importance of engagement ring insurance and how to get your ring insured.
Understand The Value of Your Ring
Your ring has two different values: the purchase price and the appraised value. The appraised value is also known as the retail replacement value and it is usually a lot higher than the purchase price of the engagement ring. Every day customers come to our office to sell their jewelry and they bring their appraisals in with them. We often have to inform them that the actual value of their ring is generally a lot less than the retail replacement value.
Why would you need insurance on your engagement ring?
Life happens. If you every lose your engagement ring, someone steals it, or it gets damaged then you will be glad that you have insurance on it. Insurance is to help you out financially if something happens to your ring. You will have to pay a deductible to get the ring replaced instead of having to spend a lot of money to buy a new one. You will be glad that you have insurance on the day that something happens to your ring.
Every insurance company has different policies on how they will determine the value of the ring. Some companies may have their own insurance appraisers while others may only require an appraisal that is done by a GIA graduate gemologist.
How Much Is Engagement Ring Insurance?
Different insurance companies have different prices. Jewelers Mutual, the company that we tend to recommend the most averages about a 1-2% annual premium on the retail replacement value of an engagement ring.
Where To Get Insurance For Jewelry?
After customers purchase their engagement ring from Diamond Exchange Houston we will typically encourage them to get insurance on their ring. One place to check to get insurance is your homeowners insurance company. They will typically have an additional insurance rider that you can add to protect your jewelry items. The company that we often refer our customers to use is Jewelers Mutual, however, their homeowners insurance is another option that they can look in to.
Will You Need An Appraisal?
Every insurance policy provider is different as far as the documentation that they will need. Most insurance companies will require a 3rd party GIA graduate gemologist appraisal to be done. If you need an appraisal done to obtain insurance then reach our to Diamond Exchange today and we will point you in the right direction. We have several different options for jewelry appraisals.
Who Do We Recommend For Jewelry Insurance?
Diamond Exchange Houston often will recommend customers to use Jewelers Mutual for insurance. Over the years we have had several customers lose or damage their rings and Jewelers Mutual has always been excellent to work with. They only do insurance on jewelry and when claims have been made by our customers they have always lived up to what they promise.
How to get insurance on your jewelry?
If you are looking to get insurance on your engagement ring then you should first contact your insurance provider and see what documents they will need. You might need to show a purchase receipt or have a 3rd party appraisal completed. Every insurance company has it own policies and set of requirements.
For Additional Help Contact Diamond Exchange Houston Today!
If you have any further questions about insurance for your engagement ring then feel free to reach out to Diamond Exchange Houston today. We are here for all of your diamond and engagement ring needs!