From picking out a ring, to planning the perfect proposal, engagement and wedding ring insurance is probably the last thing on your mind. After saying yes, chances are someone will be sporting a shiny new addition on their hand and it’s important to make sure this special token is protected. Just as it sounds, ring insurance is a type of policy for these special pieces of jewelry in the event that they’re lost, stolen, or damaged.
What Is Engagement Ring Insurance?
Your engagement and wedding rings are a symbol of love, commitment, and often a significant financial investment. So, do you add another layer of protection, or trust fate (and your fingers)? No matter how careful you are, accidents and incidents out of your control can and do happen. What happens if you lose your ring? If someone steals it? If it gets damaged? While nothing can replace the sentimental value of your ring, insurance is a contractual means of risk management to protect you from the financial repercussions in the event of loss, theft or damage.
While the financial arguments are important, don’t forget the sentimental value. Is your ring an heirloom passed down through generations? Did your partner design it themselves? In these cases, insurance goes beyond money, protecting a piece of your heart and family history. Here are some reasons to consider ring insurance:
- Peace of mind: Accidents happen, and rings get lost, stolen, or damaged. Insurance puts a safety net under your precious items, providing financial assurance against the unexpected.
- Reimbursement for loss or theft: Insurance can cover the cost of replacing your ring, whether it mysteriously vanished from your finger or got snatched at a crowded market.
- Coverage for damage: Scratched stone? Loose setting? No sweat. Most insurance policies cover repairs or replacements for damaged rings, so you can keep your diamond sparkling and your heart at ease.
- Enhanced security: Some insurers offer perks like jewelry appraisals and safe deposit box discounts, adding an extra layer of protection for your beloved bauble.
To protect your ring, you can purchase an extension (also called a “rider”) for your renters or homeowners policy which will cover items inside your home up to a certain dollar value. For expensive or sentimental items like engagement rings, another option is to insure your ring through a company that specializes in jewelry insurance, which will offer more coverage than a standard homeowners policy. A ring insurance rate is determined by factors including the value, where you live (and theft rates in the area). Insurance typically costs 1-3% of the value of the item being insured.
How to Insure Your Engagement and Wedding Rings
The first step is to get an appraisal to determine what your rings are worth. This accounts for key elements of value including: carat, cut, color, clarity, types of metal, shape and any distinctive markings, model numbers, or stamps. If your jeweler provided you with a grading report from an independent gemological laboratory like the Gemological Institute of America (GIA), while not an appraisal itself, this important document lists all of the measurements your appraiser will need to make the most accurate determination of value.
Next is to choose a coverage provider. We recommend working with a company that specializes in jewelry insurance especially if your rings are of substantial monetary and/or sentimental value. While you can add onto an existing homeowners policy, in many cases coverage is limited by situations, requirements to use jewelry replacement companies, and coverage value limits. Make sure to ask your policy provider important questions like:
- Can you choose who repairs your ring or where to purchase a new one?
- Are there any circumstances that aren’t covered?
- Will you still be insured if you travel out of the country?
- Are you covered for damage or just loss and theft?
- What types of repairs contribute to the deductible?
Consider the ring’s value, your lifestyle, and risk tolerance. Remember, there’s no price tag on peace of mind. We are happy to go over all of this with you in an appointment. We can provide both an appraisal and insurance company recommendations. Contact us with any questions at 303-385-8449 or click here to schedule an appointment.