If you are looking for engagement ring insurance, make sure you read the fine print. You need to know you will really be covered when it counts after paying all those monthly insurance payments. Additionally, make sure you keep all the necessary receipts, appraisal documents and lab documents on your gems to ease the challenge when it comes time to reach a settlement.
Get An Appraisal
Don’t trust your seller 100 percent. Most sellers, even well-known and reputable jewelry sellers, provide an appraisal above the actual market value of the engagement ring they are selling you. This can come back to haunt you later so make sure you have an independent appraisal, completely separate from the seller.
Jewelry appraisals should not be static. The value of your ring will change over time, and you need up-to-date information on its value should you need to file a claim on your ring. Have an updated ring appraisal done at least every few years.
Make Sure You Have A Diamond Certificate
In addition to an up to date appraisal, you need to make sure you have a gem lab report as well. The gem lab report (sometimes referred to as a diamond certificate) does not provide value data but rather provides specific analytic data regarding the gem grade and quality.
Up To Date Pictures
To help your insurance company, your jeweler and the authorities should your ring become stolen, you really must have a high quality set of pictures of your engagement ring available. Keep these pictures updated over time so there isn’t any question as to the age or authenticity of the pictures.
Keep The Receipt
Last but certainly not least, make sure you keep the original receipt for your purchase. With such a big and important purchase, one would think it would be common sense, but a surprisingly large number of people seem to lose this vital receipt.
When you combine it with a recent appraisal and a gem report, the original receipt helps make your a settlement a far less complicated and stressful process. It is difficult to anticipate and prevent such stressful events in your life, but I’m here to tell you to anticipate this one well in advanced and take all these necessary step to make the process as painless as possible.
As part of your engagement ring purchase, you should include from $150 to $250 of additional expense per year for engagement ring insurance. Many people don’t consider that as part of the lifetime cost of a piece of jewelry, but that can be costly mistake.
Don’t slack when it comes to obtaining proper engagement ring insurance. It may feel good to brush it off now or save a few bucks instead of committing to the full investment, but you will likely regret that attitude if anything ever happens to the ring.