Is it Worth It to Insure My Engagement Ring?

Losing your engagement ring is not only expensive but upsetting and stressful. If you chose to go without engagement ring insurance, you have even more stress on your shoulders. Engagement ring insurance helps you to replace your ring without having to come up with the money yourself, but is it worth it to ensure your engagement ring?

It is worth it to ensure your engagement ring if the value of the ring is higher than your homeowner’s insurance will cover. This insurance can help if your ring gets lost or stolen and you want it replaced.

Many people get an expensive engagement ring, and then do not get any insurance on the ring at all. Then when something happens to the expensive ring, they are out the money with nothing to show for it. Let’s take a look at how engagement ring insurance makes sense to protect this valuable asset.

What Does Engagement Ring Insurance Cover?

Before you choose any engagement ring insurance, it is important to know exactly what your policy covers. Each policy is different, though full-coverage will provide you with all the coverage you need, no matter what type of damage or theft occurs to the ring. Some of the most common things that engagement ring insurance covers include:

  • The ring getting stolen
  • The repair or the replacement of the ring
  • Any type of incident that may occur to the ring at home or away from home.
  • Any accidental damage that may occur to the ring
  • Any accidental loss of the ring.

Each policy is a little different, so it is best to check what is offered for the premium you plan to pay. Most policies that have a higher premium will offer more coverage on the ring.

How Much is Engagement Ring Insurance?

The amount you pay for engagement ring insurance will depend on the value of the ring and how much protection you would like on the ring. Each insurance company will have different formulas to use when determining how much insurance will be. The rates may also depend on your location. Most people can expect to spend between 1 to 2 percent of the ring’s value for insurance.

For example, if you want to insure a ring that costs $5000, you may be able to find companies that will cover it for $50 a year. You should also check on the deductible. The higher the deductible that you pay out of pocket if something goes wrong, the lower your engagement ring insurance will be.

The more coverage you put on the ring, the more expensive the premium will be as well. You should shop around and compare more than one insurance company to make sure you get the best price for the best coverage.

How to Get My Engagement Ring Insured?

There are a few steps you can follow to help get your engagement ring insured for the right price. This process may seem intimidating, but it can be easier than you think. The steps that you need to take include:

Check out your home policy

Always check out your renters or home insurance policy. These may already include coverage for jewelry and other valuable items you have. The amount through these policies will be low, usually around $1000. If your ring is worth more than that, you may need to consider another insurance policy to get enough coverage.

Get an appraisal

Once you decide to get additional coverage on your engagement ring, you should do an appraisal. This appraisal isn’t done so you can figure out how much your partner spent on the ring; it is often a requirement for getting the insurance so they know how much coverage to provide. Always get a copy of the paperwork and keep it on you when applying for insurance. This can help you get an accurate figure on how much coverage you will need on the ring.

Get the insurance

Now it is time to shop around for the right insurance. There are many companies you can choose from. You may work with the company that designed the ring, the shop you bought it from, your homeowner’s insurance, or another company. Take good notes and ask the tough questions before choosing anyone. Some questions to ask include:

  • How much is the deductible?
  • Is a re-appraisal ever necessary sometime in the future?
  • How does the claims process work and how difficult would it be to work with.
  • Will you get the full value of the ring if something happens?
  • How is the value of your ring determined?
  • What all is covered? Will they cover accidental loss, damage, and theft?
  • The cost of protecting the ring.

Protect your ring

Even after getting the insurance on your ring, you need to keep it protected. You do not want something bad to happen to the ring and you do not want to make the job of a thief any easier. Keep the ring tucked away somewhere safe when you are not wearing it.

Will My Homeowners Insurance Cover Engagement Rings?

Some types of homeowner’s insurance will cover your engagement ring. If the engagement ring is simple and doesn’t cost too much, then your insurance will cover it because it is an item inside the home. If you lose your engagement ring outside the home, or the ring is a high-ticket item, your homeowner’s insurance will not cover it under your traditional policy.

You can choose to add an extension to your home insurance policy to cover the ring. Some insurance companies will allow you to add this extension for things like expensive engagement rings and pieces of art. Call your insurance company to see what this extension would cost for your ring and compare it to other engagement ring insurance providers before making your decision.

Do I Need Engagement Ring Insurance?

Should you insure your engagement ring? It is up to you whether you want to insure your engagement ring or not. For more expensive engagement rings that are worth a lot of money, insurance can provide peace of mind in case something happens to the ring before the wedding day.

Many people like the comfort of knowing that if something does happen to the engagement ring, the insurer will help you get back some of your costs for the ring, pay to get the repairs done if the ring is damaged, or have a recreation or replacement made if necessary.

What Should I Look for in Insurance Policies when Purchasing?

While looking at engagement ring insurance policies, there are a few important factors to consider ahead of time. Some things to look for in an insurance policy before purchasing includes:

  • The price: The first thing to look at with any insurance policy is the price. This will tell you how much you will pay over the length of the policy and gives you a better idea of whether an insurance policy is a good deal or not.
  • How much coverage is provided: Look to see whether the policy will cover everything with the ring, just damages, just being lost, or some other combination. Some will also have a dollar amount that you can stick with for reimbursement.
  • The claims process: Hopefully you never need to work on a claim process with your ring at all. But if you do, you need to know the claims process ahead of time. Know how many steps there are and how complicated the claims process will be before you sign the papers.
  • The deductible: Look to see how high the deductible is. In most cases, the lower the deductible, the higher the premium on the insurance policy. The higher the deductible, the lower the premium you will pay each year.
  • How long the policy lasts: Always check how long the policy lasts and compare it to the length of the engagement. If your engagement will be short, you won’t need a long-term policy. If you plan to have a long engagement, you want to make sure the policy doesn’t run out too early.
  • Customer service: You never know when you will need to work with the company again. It is important to find someone who provides exceptional customer service and won’t make calling them a pain.

Who are the Best Engagement Ring Insurance Companies?

If you want to keep your engagement ring safe with insurance, it is important to pick the right company to make it happen. There are a lot of options to work with depending on the type of service you would like. You could choose the insurance that comes with your engagement ring. Several big ring sellers can provide you with this type of insurance, including James Allen and Blue Nile insurance.

However, these companies often offer insurance just on their engagement rings. When you purchase a ring from another provider or company, you may not be able to use this kind of insurance at all. Other great choices include:

  • Travelers Insurance: This provides the best value.
  • Chubb insurance: This company provides the best market protection.
  • JIBNA: This company provides the best claims process if you lose or damage the ring.
  • Lavalier: This is the best company to use for high-value rings.
  • Jewelers Mutual: This is the best insurance company to use overall for each engagement ring.

Final Thoughts

If you have an engagement ring that costs more than $1000, it is often best to get engagement ring insurance in case the ring gets lost or damaged. For rings that cost under $1000, your homeowner’s insurance can often cover the loss or damage so it doesn’t make sense to get an additional policy.

There are additional insurance policies that will help you get the coverage you want on the ring so it is always protected, so you can choose the one that is right for you.

Carl A. Jones, GIA GG

Carl A. Jones is a GIA Graduate Gemologist with over 20 years of experience in the diamond industry. He is an independent jewelry appraiser. He specializes in determining the value of diamonds and advising consumers on how to buy quality diamond jewelry.

You May Also Like