Getting Engaged? Don’t Forget to Insure Your Ring
For any young couple, engagement rings are the most valuable objects they own since they are a symbol of their love. But do not let joy make you lose sight of the risks. An engagement ring is something that can be stolen or even lost, so it is important to protect it, and the best way to do that is by insuring it.
What is engagement ring insurance?
The insurance for engagement rings works just like other kind of insurance. In most cases the ring is an expensive piece of jewelry and it might be very difficult to replace it if something happens to it. That is when an insurance policy comes into play.
You decide how much you want to pay annually for it, and, based on that sum, the ring could be protected against unexpected situations such as loss or theft. There are certain companies that are specialized in jewelry insurance and you can either receive back an amount of cash that covers the cost of the ring or a part of it.
How to insure your engagement ring?
If you decide to insure your engagement ring there is one thing that you should do first in order to determine the value of the ring. Take the jewelry to a gemologist that is certified so you can find out how much it is worth.
Usually you will be charged for that as well since market research and lab work are required in order to determine the worth of a piece of jewelry. Gemologists usually charge per hour and the rate can vary from $50 to $150. The cost also depends based on the kind of ring you have.
You will need to get proof from the appraiser because the insurer will ask for it. Additionally, you will need proof of purchase. For insurance you can choose to purchase an extension, also named rider, on your renter’s or homeowner’s policy. You will need a rider that is transferable to a new address in case you move to another place. There are some companies that offer policies on individual pieces.
Depending on the value of the ring, for each 100$ you should pay $1 or $2 yearly. This means that for a $2000 ring you will have to pay $20 to $40 per year. The costs depend on the insurance company.
Inform yourself before insuring your ring
Before you insure your engagement ring you have to make sure that you are aware of all the details. You should find an insurance policy that covers everything, from theft to accidents or loss. There are insurance policies that don’t cover certain situations.
You should also know how the insurance will work if your ring is a unique piece of a vintage. Additionally, find out if the insurance company will give you money for the ring or if the ring will be replaced. Also, check if the ring will be fully insured, or just a part of it.