Should You Insure Your Diamond Engagement Ring?

For many couples, buying a diamond engagement ring can be one of the largest purchases they will make (usually just behind purchasing a home or a new car.) It is recommended that the ring be appraised and insured, after all, you would not buy a new home or car and not get insurance on it.

When you are getting you diamond engagement ring appraised, you are getting a retail replacement value. This means that if your ring is lost or damaged, the insurance company is required to replace your ring with another ring that is of the same quality and value. This means that the insurance companies will not automatically write you a check for the original appraised value. If you do choose to cash out, the insurance company will usually only pay you an amount equal to what they could get you a replacement diamond engagement ring for. You can get your ring appraised from an independent appraiser, although it is not required to get insurance on you ring.

Where is the best place to purchase insurance on your diamond engagement ring? Most homeowner’s policies offer jewelry coverage. If you do not own a home, you can usually get coverage through your renters insurance. You can also find independent companies that can insure your diamond engagement ring. The most important thing to remember is that you should read the fine print. While some renters or individual policy insurance will cover big ticket items like, TV’s or furniture, there are stipulations for high end luxury items, such as diamond jewelry.

You have invested a lot of time and money picking out the perfect diamond engagement ring, so it is a wise idea to get insurance on your ring just in case something were to happen.