Expensive and exquisitely beautiful jewelry materials such as diamond and gold rings, watches, certain antique jewelry and precious stones are always subject to theft and other risks that would result in the loss of the item or decrease the value of the same. Another risk could be the accidental damage and loss in fire or theft of these sentimental and expensive items. This can certainly result in unwanted and extreme psychological and physical torture. The multi-dollar question that you should consider is: How much and why is it very important to have jewelry insurance in the first place?

Firstly, it may helpful to know that comprehensive jewelry cover is primarily provided by the insurance firms at somewhat low premiums with even some providing full accidental compensation for damage and loss depending on the cover chosen. These insurance policies target all forms of jewelry cover groups ranging from low-value to high-value products. Generally, most insurance firms would target large or quantitative assets such as houses and automobiles coupled to life assurance, thereby lacking in expert high-value jewelry insurance systems.

Secondly, do note that deciding on the right insurance firm to handle your protection needs is mostly pegged on policy flexibility coupled to the current rates on offer. Most jewelry insurance firms cover the basic repair expenses on damaged products right up to competitive repayments on placing claims. However, the important criteria protocols attributed to the coverage details, time for claim and the claim process should not be left out too and should be considered carefully with a fine tooth comb.

Consult at least two expert jewelry insurers before insuring your jewelry based on the two main coverage policy types. These would include Blanket coverage as well as scheduled property policy type. The blanket policy does not necessarily require an appraisal of insured pieces under the renter’s policies unlike the scheduled property that requires constant appraisal to ensure that it is still in accordance with the basic requirements. Based on all the above fundamental information, an individual will be in a better position to address the question why it is important to have jewelry insurance.

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 ring, at least you’ll be able to get a replacement ring without too much of a financial burden.

The problem with jewelry coverage 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 that kind of policy, if they don’t sell the policy themselves.

Some jewelers, as a service to their customers and to make some additional money, sell stand alone jewelry policies that are underwritten by insurance companies. Just be sure to do some comparison shopping to make sure you are not being over charged for the policy.

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.
The most common and least expensive type of policy is the actual value policy, which replace the cash value of your ring, minus any depreciation. 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.

When shopping for a engagement ring insurance that fits your needs, be sure you know the type of coverage you are getting so you don’t get a big surprise if you ever have to file a claim and only then discover that the coverage is not what you thought it was.

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.