If you followed the convention of spending two engagement rings salary on the diamond engagement ring with which you proposed to your girlfriend, who is now you wife, we are talking about some serious money. So wouldn’t you want to protect that investment in case your wife losses the ring or damage it from wearing it every day?As with any kind of insurance, the right engagement ring insurance makes financial sense. Insurance give you some protection for your monetary investment and gives you peace of mind in case the engagement ring is lost or stolen. While you may not be able to replace the sentimental value connected with the engagement rings, at least you’ll be able to get a replacement ring without too much of a financial burden.
Most homeowner’s and renter’s policies come with jewelry coverage as part of the over-all policy. The limit for the coverage is usually low, typically in the range of $1,000 to $5,000, after the policy deductible is met. If you have fine jewelry such an expensive diamond engagement ring that is worth more that the limit of the coverage, you need to pay an additional premium to buy additional coverage for the ring.The problem with jewelry engagement rings under a homeowner’s or renter’s policies is that most likely the policy does not cover damage or loss to the engagement ring outside the home and only provide cover if the loss happens inside the covered property due to fires or theft.
If you want an insurance policy that covers a loss or damage away from home, you need to purchase a stand alone policy through a company that specializes in jewelry insurance. Many of the major home and auto insurers also offer jewelry insurance policies. Knowledgeable jewelers should be able to give you names of insurance companies that offer engagement rings kind of policy, if they don’t sell the policy themselves.The best jewelry insurance policy is a replacement type policy that would replace your loss or damaged ring with a ring of like kind, at the current value. For example, if you own and insure a diamond engagement ring from Tiffany and the ring is loss, the policy will replace the right with a similar ring from Tiffany and not from Kay jewelers, for example.
The most common and least expensive type of policy is the actual value policy, which engagement rings the cash value of your ring, minus any engagement rings. This type of policy is similar to an auto insurance policy, where in the event of a total loss; the insurance company would pay the current value of the auto, minus any depreciation.Premiums vary depending on the type of policy, the policy limit, the deducible, and where you live. As with other types of insurance, shopping around will get you the best deal. But in general, engagement ring insurance is relatively inexpensive compared to the price of replacing a valuable diamond engagement ring, and the peace of mind of being able to wear your ring without constantly worrying about losing it far outweighs the cost of the insurance.