Guide To Engagement Ring Insurance

You met the girl. You bought the ring. You even nailed the perfect proposal. Time to live happily ever after, right? Well, almost.

Nothing spoils that blissful feeling like a lost or stolen ring. Not to worry though—we’ve got an easy way to ensure peace of mind.

Engagement ring insurance.

Yup. Much like your iPhone insurance protects against a future with a cracked screen, engagement ring insurance is about protecting your investment—only this time the investment is much more valuable than your phone.

Basically, engagement ring insurance protects the emotional value of her ring—and it protects you from having to spend that money all over again.

Do I Really Need This?

If you have expensive jewelry, or are proposing with a piece that has sentimental value, you need engagement ring insurance.

Whether your engagement ring is $500 or $50,000, an insurance policy is a way of honoring not only its financial value, but the feeling behind it. Her ring is precious. She’s going to wear it all the time. If you’d like to secure it from damage or loss, you’ll want insurance.

Here’s everything you need to know about insuring her ring.

What Is It Exactly?

Engagement ring insurance is a lot like auto or home insurance. You pay a certain amount of money annually to protect your ring against everything from theft or damage to loss—depending on the plan you select.

What Are My Options?

There are several ways to insure an engagement ring. You can purchase an extension (aka rider) on your renter’s or homeowner’s policy.

Expensive or sentimental items (like your engagement ring) are guaranteed through an insurance policy extension called scheduled personal property coverage. Just be sure to read the fine print before buying the ring rider. A good policy will cover every potential ring-threatening situation, from theft and damage to accidentally dropping it down the bathtub drain.

Selecting a company that specializes in jewelry insurance is another way to go. This option might offer more coverage than a standard homeowners policy. For example, a dedicated jewelry insurance policy might fully replace a lost or stolen ring—whereas other types of policies pay a set amount of cash that only partially covers the ring.

How To Insure Your Jewelry

Once you’ve decided that you want engagement ring insurance, here’s what you do.

  • Get an appraisal from a certified gemologist.
    You’ll need proof of the value and attributes of her ring. It’s important to know how much the ring is worth if you want a cash reimbursement or a ring of equal value.Depending on your ring, the hourly rate of an appraisal can be anywhere from $50 to $150 which covers market research, lab work and a written copy of the appraisal. Because appraisals are tailored to each situation, costs can vary based on the complexity or simplicity of the item being appraised. It’s also worth noting that the ring’s assessed value may be higher or lower than what you paid depending on where you purchased it, whether it was on sale, and whether it incorporates custom or heirloom elements.
  • Have your receipts ready.
    The insurer will require proof of purchase as well as the appraised value of the ring.
  • Make sure your rider follows you.
    If you move after the wedding, make sure your ring rider is transferable to your new home’s insurance coverage. If you had the ring insured with your fiancee’s house before the wedding, for example, you’ll need to add it to your new home’s policy once you move in together.
  • No renter’s or homeowner’s policy? No problem.
    There’s another way to insure your ring. Some insurance companies work with jewelers to offer policies on individual pieces. Just ask your jeweler. Be sure to get specific answers about the level of coverage you’ll be getting—these types of companies can vary quite a bit.

Get The Answers You Need

Before purchasing a policy, ask these questions:

  • Is the ring covered if you lose it accidentally—or only if it’s stolen?
  • How will the company replace the ring? With a check?
  • Will the company require you to purchase a replacement through a specified jeweler
  • What happens if it’s a vintage ring or other unique piece?
  • How will the quality and size of your diamond be documented? And, if a replacement is needed, how will the quality and size be measured and documented?
  • Is the ring insured to full cost or a fraction of it?
  • If you do make a claim, what are the requirements for proving that the ring vanished?
  • Are there any circumstances of loss or damage that aren’t covered? (Say you’re skydiving in Australia, and it falls off her finger, for example?)
  • What is the average cost of a ring rider policy? How does the price of the jeweler’s insurance plan compare?

Pro Tip: The yearly cost to insure your ring is $1 to $2 for every $100 that it would cost to replace. This means that if your ring costs $9,000 to replace, you might expect to pay between $90 and $180 per year to insure it—or slightly more in cities where the risk of theft is higher.

One More Thing

In addition to buying insurance, you might consider getting a vault or safe to protect her ring when she’s not wearing it. Keeping paperwork like appraisals and policy riders in the safe is a good idea too—that way you’ll always know where it is if you need it.

So, you got the girl. You scored the right ring. Your proposal went perfectly. And now you know your options for protecting her ring.

What’s next? We say—happily ever after.

Congrats.