Canadian Ring Insurance? Don't live together

[danny_italia]

Hi everyone!

It's been a while since i've posted but I'm pleased to say that I've finally chosen the band to go with the beautiful James Allen stone you all helped me choose. The Engagement ring is a beautiful Platinum Scott Kay Band. I'll post pictures once the diamond is set.

So i've been doing my homework and I'll definitely be getting the ring insured.

Here's what I've found out so far. I currently live at home with my parents and I know the ring will be insured under my parents policy aslong as the ring is in my possession.

My girlfriend also lives at home with her parents, and this is where it gets confusing. I was told that once I propose and give her the ring. It's now in her possession so it would have to be insured under her parent's policy. We plan on purchasing a home within the next 6 months but I need to have the ring insured during that time as well (I wouldn't want to risk it).

I'd prefer not to ask her parents what their policy consists of - and if it's not covered i wouldn't want to make changes to their policy.

So how can I go about insuring her ring for her. I'd rather take care of everything personally.

Do i have any options?

Thanks!
Danny

 

[distracts]

Re: Ring Insurance? Don't live together

If you use Jeweler's Mutual/Perfect Circle for insurance, you can insure at different addresses. My ring was insured at both my fiance's house (where he lived) and my parents' house (where I lived) on the same policy.

 

[danny_italia]

Re: Ring Insurance? Don't live together

If you use Jeweler's Mutual/Perfect Circle for insurance, you can insure at different addresses. My ring was insured at both my fiance's house (where he lived) and my parents' house (where I lived) on the same policy.

Are they Canadian? I also should have mentioned I'm in Ottawa, Ontario, Canada.

Thanks!

 

[TC1987]

Looks like it. As Perfect Circle Insurance, maybe? Excludes Quebec.

(I was reading your question when the other person answered.)

 

[danny_italia]

No problem - the more input the better!

I was also told its a good idea to find an insurance company with a ploicy that is written for the "agreed value". Apparently policies that aren't will make you pay the premium based on the almost always alrger appraisal value and replace it with something you paid for.

IE. you spend $8000 for a ring, it's appraised at $12,000. Your paying your premium based on $12,000 but if youw ere to lose it, it will be repalced with a comparable $8000 ring.

In the case of an agreed value ploicy... you are written a check for the appraisal value.

 

[Dreamer_D]

Re: Ring Insurance? Don't live together

If you use Jeweler's Mutual/Perfect Circle for insurance, you can insure at different addresses. My ring was insured at both my fiance's house (where he lived) and my parents' house (where I lived) on the same policy.

Yes, this is my recommendation.

I am also Canadian and use JM/Perfect circle and I really like the coverage. They allow you to pick the replacement from the vendor of your choice, which removes the issue you are discussing regarding agreed value to a degree. Make sure your appraisal accurately refects the amount you paid for the ring, and then its all good. You would choose the replacement from the jeweler of your choice and JM will work with that jeweler to facilitate the replacement. That is different than most policies where you are limited to the jewelers your insurance chooses. I MUCH prefer a policy like JM because as a picky diamond person I want to pick my own stone from wherever I want. The only issue being Canadian is if you want to replace a stone from a US vendor, then you have to buy it yourself (once approved by JM of course) and then JM will reimburse you for it; Canadian JM cannot work with a US vendor directly. I asked all of these things when I decided to use them for my own insurance.

 

[Dreamer_D]

Oh, there are no insurers in Canada that I could find who will simply do a cash out settlement.

 

[danny_italia]

Oh, there are no insurers in Canada that I could find who will simply do a cash out settlement.

That's not to big of a deal if what you said was correct. Aslong as I get to pick the jeweller. I spent a great deal of time selecting the right stone and liek you all know... No 2 stones are made equally... especially when you take into account HCA scores...

My only issue is, I went into the Jeweller today and just picked up my appraisal on the loose stone - as I wanted it appraised/insured before they went ahead and set it. The appraisal amount was alot more then I had paid for the stone through James. I know this is common... but my question now is.

Since I know I could purchase a similiar stone for much less... why am I expected to pay the premium on a much larger appraised value?

It gets a little confusing/frustrating because let's say the diamond needed to be replaced. It would not be replaced with the appraisal amount, instead with something identical in specs. Is this not correct?

I'm assuming the point is that, this is what the Jeweller could expect to spend when they replace it but I think we all know that the Jewellers acquire and sell them for much less.


Is it possible to ask for a lower appraisal - closer to what I paid? and if you do are there any risks (ie. if it needed replacing - they can't guarantee the same quality).


Just to give you an idea - my appraisal is close to double then what I had purchased for the loose stone. Mind you this was me purchasing it through James Allen directly. I know many mention that most jewellers can't compete with the price of diamonds online.


Like always, thanks for your input in advance.

Danny

 

[sonnyjane]

Since I know I could purchase a similiar stone for much less... why am I expected to pay the premium on a much larger appraised value?

It gets a little confusing/frustrating because let's say the diamond needed to be replaced. It would not be replaced with the appraisal amount, instead with something identical in specs. Is this not correct?

I'm assuming the point is that, this is what the Jeweller could expect to spend when they replace it but I think we all know that the Jewellers acquire and sell them for much less.

Is it possible to ask for a lower appraisal - closer to what I paid? and if you do are there any risks (ie. if it needed replacing - they can't guarantee the same quality).


Just to give you an idea - my appraisal is close to double then what I had purchased for the loose stone. Mind you this was me purchasing it through James Allen directly. I know many mention that most jewellers can't compete with the price of diamonds online.


Like always, thanks for your input in advance.

Danny

Regarding your question about getting an appraisal closer to what you actually paid, Jeweler's Mutual/Perfect Circle will accept a sales receipt as the "appraisal". My ring was insured for several years using just that. I did, however, have my ring reappraised earlier this year because the cost of gold and diamonds had gone up and I could no longer have replaced my ring for that value. The associate from JM/PC explained to me that YES they will replace your jewelry with like kind, but only UP TO the maximum value for which it was insured. That's why it's important to have things reappraised every so often.

 

[CharmyPoo]

I am from Toronto - also recommend going with Perfect Circle. To be honest, why not start the insrance when she starts wearing the ring ... save some money. You can lock up the e-ring in a safety deposit box (assuming your parents have one or you do at a bank).

 

[Dreamer_D]

The issue you describe is not about insurance, its about crappy appraisals I have used a few differnt people, and in the end, get my appraisals from someone who will look at my purchase receipts and take my desires into account. You also need an appraisal of the complete ring anyways, Pefect Circle does not insure loose stones as a rule.

Your insurer will replace the diamond with like kind and quality. You are correct that an inflated appraisal is useless. If your ring is appraised for less than the replacement, the insurer will only pay up to the max -- so the risk is you will pay the difference.

 

[danny_italia]

Yup... to give you some numbers.. I paid about $5500 for the stone and another $2000 for the Platinum Scott Kay Band.

A total of $7500. The appraisal today on just the stone (since it was sent off to get set) was $12,500! Now I know I got a really good deal on my stone but nearly 3x is a bit much! I'm assuming with the ring added to it I'm look at close to $18k for the total ring when I really only spend about $7500.

I wouldn't mind paying insurance on around $10,000 as I'm confident the insurance company and myself could replace it for around that... but to pay a monthly premium based on almost $20,000.... when I know the insurance company will pay alot less to replace it...

Well I guess I see how they make their money!


I'm just curious if you can insure a Ring for less then what it's been appraised at? I know you obviously couldn't insure it for more... but what about less?

Just a thought... If anyone has any info it'd be great if they could chime in!

Thanks again!

PS. Thansk Dreamer_D for al your input.. I believe you also helped in the stone selection process! This forum has it's share of very friendly and helpful people!

Danny