Dis You get Insurance for your diamond??? Waste of money?
- Thread starter bizmord
- Start date
flamingoezz
Shiny_Rock
- Joined
- Nov 20, 2012
- Messages
- 112
Re: Dis You get Insurance for your diamond??? Waste of money
I just bought a ring too and interested in answers on this as well..
seems from reading around that most people do...but most people on here also have rings that make mine look tiny.
does insurance cover ring damages too, or just loss/theft normally?
I just bought a ring too and interested in answers on this as well..
seems from reading around that most people do...but most people on here also have rings that make mine look tiny.
does insurance cover ring damages too, or just loss/theft normally?
Christina...
Ideal_Rock
- Joined
- Mar 7, 2011
- Messages
- 5,028
Re: Dis You get Insurance for your diamond??? Waste of money
yes yes yes! I think insurance is worth it! The only items I wouldn't insure are ones that I could replace easily in the event of loss or damage. Insurance is relatively inexpensive for the piece of mind that it offers. I recently switched from jewelers mutual to USAA and enjoyed a large savings and am getting better coverage. You can get a free online quote from JM by going to their website and answering a few questions. Most policies cover loss, theft, and damage, but it's important that you read what exactly is included in your policy.
ETA: Some people choose to add a rider on their homeowners policies instead of a policy specific to jewelry. I've read differing information on this though, I've read both that a rider will cover loss and/or damage that is the fault of the owner, and that it will not. Of course it's probably dependent on your specific policy, but I would want to be clear that it offered some type of 'I'm an idiot' coverage.
yes yes yes! I think insurance is worth it! The only items I wouldn't insure are ones that I could replace easily in the event of loss or damage. Insurance is relatively inexpensive for the piece of mind that it offers. I recently switched from jewelers mutual to USAA and enjoyed a large savings and am getting better coverage. You can get a free online quote from JM by going to their website and answering a few questions. Most policies cover loss, theft, and damage, but it's important that you read what exactly is included in your policy.
ETA: Some people choose to add a rider on their homeowners policies instead of a policy specific to jewelry. I've read differing information on this though, I've read both that a rider will cover loss and/or damage that is the fault of the owner, and that it will not. Of course it's probably dependent on your specific policy, but I would want to be clear that it offered some type of 'I'm an idiot' coverage.
- Joined
- Jan 11, 2006
- Messages
- 58,571
Re: Dis You get Insurance for your diamond??? Waste of money
If you can easily replace the diamond with no financial concern if lost, stolen, chipped, cracked, then you do not need insurance. If it would cause you some distress to replace it, then by all means get insurance that will cover for all losses! An engagement ring is usually worn more than any other piece, so I have always insured that. I do not insure things like a diamond wedding band because the extra premiums are not worth it and I could replace that without too much pain!
If you can easily replace the diamond with no financial concern if lost, stolen, chipped, cracked, then you do not need insurance. If it would cause you some distress to replace it, then by all means get insurance that will cover for all losses! An engagement ring is usually worn more than any other piece, so I have always insured that. I do not insure things like a diamond wedding band because the extra premiums are not worth it and I could replace that without too much pain!
ame
Super_Ideal_Rock
- Joined
- Jul 7, 2004
- Messages
- 10,883
Re: Dis You get Insurance for your diamond??? Waste of money
Can you afford to immediately pay to replace it in full out of pocket? If not, then yes you should insure it.
I have insurance on all of my pieces. Every one of them. Financial circumstances change, but I wouldn't be able to just outright replace my eng ring without pulling out a huge chunk of my cushion and that is not, to me, "out of pocket".
Can you afford to immediately pay to replace it in full out of pocket? If not, then yes you should insure it.
I have insurance on all of my pieces. Every one of them. Financial circumstances change, but I wouldn't be able to just outright replace my eng ring without pulling out a huge chunk of my cushion and that is not, to me, "out of pocket".
- Joined
- Apr 22, 2004
- Messages
- 38,363
Re: Dis You get Insurance for your diamond??? Waste of money
I agree with OldMiner's post in the thread linked and quotation below.
Quote:
Insurance companies make very good returns on selling insurance on jewelry. If they did not do well, they would drop offering coverage or raise their fees. If you have frequent claims they will drop you for sure and if they feel you pose an increased risk for some reason, they can raise your cost of coverage.
The reason for jewelry insurance is for catastrophic loss, not for the expected and usual wear and tear over time, or the 0.01ct diamond that fell out of the side of a ring. Truthfully, you would be far better off financially taking the risk over 20+ years that you will not have any loss and you will have saved so much in premiums for insurance that you will be almost ahead. I know that scares people who have just bought their first or second expensive jewelry item, but when folks have large collections of jewelry they often keep things locked in a bank vault or a hidden, alarmed and secure in a home safe, etc. They really don't need insurance costs to own and wear their jewelry and they take the risk on themselves to keep in safe. A home, central station monitored, security system is likely a better investment over the long term than jewelry insurance.
My own suggestion is for people who have just gotten their first or second expensive item is to insure it for a year or two to be sure they are not the kind of people who lose things. If they are not among those who have issues about keeping things safe, then the insurance is optional....
[URL='https://www.pricescope.com/community/threads/will-jewelers-mutual-increase-premium-if-you-make-a-claim.185570/']https://www.pricescope.com/community/threads/will-jewelers-mutual-increase-premium-if-you-make-a-claim.185570/[/URL]
I agree with OldMiner's post in the thread linked and quotation below.
Quote:
Insurance companies make very good returns on selling insurance on jewelry. If they did not do well, they would drop offering coverage or raise their fees. If you have frequent claims they will drop you for sure and if they feel you pose an increased risk for some reason, they can raise your cost of coverage.
The reason for jewelry insurance is for catastrophic loss, not for the expected and usual wear and tear over time, or the 0.01ct diamond that fell out of the side of a ring. Truthfully, you would be far better off financially taking the risk over 20+ years that you will not have any loss and you will have saved so much in premiums for insurance that you will be almost ahead. I know that scares people who have just bought their first or second expensive jewelry item, but when folks have large collections of jewelry they often keep things locked in a bank vault or a hidden, alarmed and secure in a home safe, etc. They really don't need insurance costs to own and wear their jewelry and they take the risk on themselves to keep in safe. A home, central station monitored, security system is likely a better investment over the long term than jewelry insurance.
My own suggestion is for people who have just gotten their first or second expensive item is to insure it for a year or two to be sure they are not the kind of people who lose things. If they are not among those who have issues about keeping things safe, then the insurance is optional....
[URL='https://www.pricescope.com/community/threads/will-jewelers-mutual-increase-premium-if-you-make-a-claim.185570/']https://www.pricescope.com/community/threads/will-jewelers-mutual-increase-premium-if-you-make-a-claim.185570/[/URL]
- Joined
- Jan 11, 2006
- Messages
- 58,571
Re: Dis You get Insurance for your diamond??? Waste of money
The only thing I disagree about is the idea that you don't need insurance if you don't lose things. My mother never lost her engagement ring, either, but she did end up with a shattered diamond. That can happen to even the most careful person. Sna77's wife ended up with bad chips on her diamond from her eternity ring diamonds hitting it, and thankfully they had that stone fully insured so it could be replaced.
The financial impact is the only consideration in my opinion. If you can easily write the check for the replacement at any point in time, then you don't need insurance. Same with collision insurance on your car, etc. If you have plenty of money, you self-insure.
The only thing I disagree about is the idea that you don't need insurance if you don't lose things. My mother never lost her engagement ring, either, but she did end up with a shattered diamond. That can happen to even the most careful person. Sna77's wife ended up with bad chips on her diamond from her eternity ring diamonds hitting it, and thankfully they had that stone fully insured so it could be replaced.
The financial impact is the only consideration in my opinion. If you can easily write the check for the replacement at any point in time, then you don't need insurance. Same with collision insurance on your car, etc. If you have plenty of money, you self-insure.
- Joined
- Jul 2, 2007
- Messages
- 3,631
- Joined
- Aug 14, 2009
- Messages
- 27,478
Re: Dis You get Insurance for your diamond??? Waste of money
I'm not really sure about this - newly engaged people often get married in a year or two, may have kids in a year or two - big life and lifestyle changes! By dropping and re-engaging your provider you might lose some long-term customer/safe driving discounts. Of course if you don't *need* insurance than the amount you "gain" by keeping your policy year after year is a whole lot less appealing than not paying them anything at all!
Ditto DS, I'd only make end-of-the-world claims so I only insure the couple of pieces I actually wear regularly and couldn't replace out of pocket right away, and w/ high deductibles.
And ditto Christina - definitely pays to shop around and ask lots of questions!!
I'm not really sure about this - newly engaged people often get married in a year or two, may have kids in a year or two - big life and lifestyle changes! By dropping and re-engaging your provider you might lose some long-term customer/safe driving discounts. Of course if you don't *need* insurance than the amount you "gain" by keeping your policy year after year is a whole lot less appealing than not paying them anything at all!
Ditto DS, I'd only make end-of-the-world claims so I only insure the couple of pieces I actually wear regularly and couldn't replace out of pocket right away, and w/ high deductibles.
And ditto Christina - definitely pays to shop around and ask lots of questions!!
Re: Dis You get Insurance for your diamond??? Waste of money
I'm a cautionary tale! I lost a $21k ring set. Thankfully we did have it insured, otherwise I might be out of luck as I am not so sure my husband would keep buying me $21k rings just so I can lose them. They are giving me replacement value and I have already picked out a set VERY similar (in fact, a bit of an upgrade) from what I lost. It's NEVER coming off my finger!
I'm a cautionary tale! I lost a $21k ring set. Thankfully we did have it insured, otherwise I might be out of luck as I am not so sure my husband would keep buying me $21k rings just so I can lose them. They are giving me replacement value and I have already picked out a set VERY similar (in fact, a bit of an upgrade) from what I lost. It's NEVER coming off my finger!
- Joined
- Jan 11, 2006
- Messages
- 58,571
Re: Dis You get Insurance for your diamond??? Waste of money
Oh and you asked for good companies. The only one I know of is Jeweler's Mutual/Perfect Circle. Just be sure you have an appraisal value that is close to what you paid for the ring. Inflated appraisals only benefit the insurance company!!!
Oh and you asked for good companies. The only one I know of is Jeweler's Mutual/Perfect Circle. Just be sure you have an appraisal value that is close to what you paid for the ring. Inflated appraisals only benefit the insurance company!!!
- Joined
- Apr 30, 2005
- Messages
- 34,124
Re: Dis You get Insurance for your diamond??? Waste of money
I almost never buy insurance that is not mandatory, such as homeowner's insurance or car liability.
All the money I've saved over my long life really adds up.
Chances are nothing bad is going to happen.
But it could.
Unlike a house a diamond is a luxury I don't need.
But people vary.
If the 'peace of mind' is worth it to you buy insurance.
Some people seem to expect a life in which nothing bad happens.
I just roll with life's punches.
I almost never buy insurance that is not mandatory, such as homeowner's insurance or car liability.
All the money I've saved over my long life really adds up.
Chances are nothing bad is going to happen.
But it could.
Unlike a house a diamond is a luxury I don't need.
But people vary.
If the 'peace of mind' is worth it to you buy insurance.
Some people seem to expect a life in which nothing bad happens.
I just roll with life's punches.
Fly Girl
Ideal_Rock
- Joined
- Jan 9, 2007
- Messages
- 7,312
Re: Dis You get Insurance for your diamond??? Waste of money
The quote from State Farm to insure my son's e-ring purchase last month was $18 per year on about a $2,500 ring. The minimum premium for a Personal Articles policy was $30 per year, so he added his computer to the policy.
This is a very reasonable cost for a young man who has does not have the assets to replace these items. He did go to our family agent, and while he doesn't have any other policies with State Farm, we certainly do. The agent made copies of the invoice from Brian Gavin Diamonds and of the AGS certificate for the policy.
As others have said, if you can easily replace the items without insurance, then you don't need it.
The quote from State Farm to insure my son's e-ring purchase last month was $18 per year on about a $2,500 ring. The minimum premium for a Personal Articles policy was $30 per year, so he added his computer to the policy.
This is a very reasonable cost for a young man who has does not have the assets to replace these items. He did go to our family agent, and while he doesn't have any other policies with State Farm, we certainly do. The agent made copies of the invoice from Brian Gavin Diamonds and of the AGS certificate for the policy.
As others have said, if you can easily replace the items without insurance, then you don't need it.
heididdl
Ideal_Rock
- Joined
- Oct 25, 2012
- Messages
- 2,929
Re: Dis You get Insurance for your diamond??? Waste of money
yes Yes yes insure. I have lost one of my side stones on my original engagement ring, I lost 5 stones over 10 years from my eternity band because I wear it every day and someone ripped my diamond pendant off my neck in NYC 10 years ago. Boy was I happy that I had them insured.
Last month my diamond tennis bracelet fell off my wrist even with safety clasp. It was not insured but thankfully I have home owners and they gave me $1,000 for a $5,000 bracelet so I'm out that .
Stuff happens through the years and unless you get your ring checked every week at the jeweler things get loose et al. So as they others said if you can replace it financially on your own go for it . Otherwise insure
yes Yes yes insure. I have lost one of my side stones on my original engagement ring, I lost 5 stones over 10 years from my eternity band because I wear it every day and someone ripped my diamond pendant off my neck in NYC 10 years ago. Boy was I happy that I had them insured.
Last month my diamond tennis bracelet fell off my wrist even with safety clasp. It was not insured but thankfully I have home owners and they gave me $1,000 for a $5,000 bracelet so I'm out that .
Stuff happens through the years and unless you get your ring checked every week at the jeweler things get loose et al. So as they others said if you can replace it financially on your own go for it . Otherwise insure
heididdl
Ideal_Rock
- Joined
- Oct 25, 2012
- Messages
- 2,929
- Joined
- Jul 21, 2004
- Messages
- 9,159
Re: Dis You get Insurance for your diamond??? Waste of money
Insurance is, by it's nature, a bad deal. That is to say, the insurance company is making money and in the long run you're better off just paying your own expenses. That said, the reason for it is twofold.
1) if you are going to have a cash flow bite from the expense, insurance averages it out over time. If the replacement is going to be difficult to afford rather than just annoying, it may be a good idea to insure.
2) If her behavior and enjoyment of the piece is going to change as a result of insuring it, you should do it. Some people spend their lives looking at their finger to make sure it's still there or refuse to wear the piece because of perceived their risk of loss. That's undermining the whole point. Sure, it'll save you $60 per year, and the real risk may only be worth $50 if you're fair about the math, but you've just eliminated the whole reason for buying a $6000 ring in order to save that $10 marginal expense. Usually this is a bad idea but it's your call. Not everyone handles risk the same way. FWIW, I insure mine and I most definitely understand the math.
Jewelry insurance premiums vary from about 1-2% of the declared value depending on your address, claims history, security, bundles with other products and a few other variables.
Insurance is, by it's nature, a bad deal. That is to say, the insurance company is making money and in the long run you're better off just paying your own expenses. That said, the reason for it is twofold.
1) if you are going to have a cash flow bite from the expense, insurance averages it out over time. If the replacement is going to be difficult to afford rather than just annoying, it may be a good idea to insure.
2) If her behavior and enjoyment of the piece is going to change as a result of insuring it, you should do it. Some people spend their lives looking at their finger to make sure it's still there or refuse to wear the piece because of perceived their risk of loss. That's undermining the whole point. Sure, it'll save you $60 per year, and the real risk may only be worth $50 if you're fair about the math, but you've just eliminated the whole reason for buying a $6000 ring in order to save that $10 marginal expense. Usually this is a bad idea but it's your call. Not everyone handles risk the same way. FWIW, I insure mine and I most definitely understand the math.
Jewelry insurance premiums vary from about 1-2% of the declared value depending on your address, claims history, security, bundles with other products and a few other variables.
two_little_birds
Brilliant_Rock
- Joined
- Oct 6, 2011
- Messages
- 1,319
- Joined
- Apr 3, 2004
- Messages
- 33,852
04diamond<3
Ideal_Rock
- Joined
- May 31, 2007
- Messages
- 3,676
Re: Dis You get Insurance for your diamond??? Waste of money
I agree with Ame. If you don't have an extra 6k laying around to pay for a replacement then yes. I understand maybe not having it for smaller pieces and things you don't wear, but for an ERING, something she'll wear it everyday, then I absolutely recommend you getting insurance. even if it's $200 a year, which it won't be, but still, I would suggest it. My first stone was cracked and the only reason I have another 1ct on my finger is because we had it insured and it was replaced. If we didnt, then I would just be wearing my wedding band.
bizmord|1361285842|3384203 said:
I agree with Ame. If you don't have an extra 6k laying around to pay for a replacement then yes. I understand maybe not having it for smaller pieces and things you don't wear, but for an ERING, something she'll wear it everyday, then I absolutely recommend you getting insurance. even if it's $200 a year, which it won't be, but still, I would suggest it. My first stone was cracked and the only reason I have another 1ct on my finger is because we had it insured and it was replaced. If we didnt, then I would just be wearing my wedding band.
BriBee
Brilliant_Rock
- Joined
- Jul 11, 2007
- Messages
- 656
Re: Dis You get Insurance for your diamond??? Waste of money
http://www.perfectcircleinsurance.com/
Jeweler's Mutual/Perfect Circle has a quick quote system on their website. A $6K ring would be about $90/year in my zip code (Nor CA) and that's with no deductible. You can reduce your premiums by adding a deductible (100, 250, 500 etc..)
http://www.perfectcircleinsurance.com/
Jeweler's Mutual/Perfect Circle has a quick quote system on their website. A $6K ring would be about $90/year in my zip code (Nor CA) and that's with no deductible. You can reduce your premiums by adding a deductible (100, 250, 500 etc..)
- Joined
- Apr 28, 2008
- Messages
- 11,676
Re: Dis You get Insurance for your diamond??? Waste of money
Mine is insured, but the premium is only $58 per year. It's worth it to me. If the premium were more expensive, I might not. $58 per year is really cheap. My ring, like yours, is also a little over 6k. It's insured through State Farm; they were the cheapest by far for me.
bizmord|1361285842|3384203 said:
Mine is insured, but the premium is only $58 per year. It's worth it to me. If the premium were more expensive, I might not. $58 per year is really cheap. My ring, like yours, is also a little over 6k. It's insured through State Farm; they were the cheapest by far for me.
- Joined
- Jan 11, 2006
- Messages
- 58,571
- Joined
- Dec 12, 2006
- Messages
- 4,456
Re: Dis You get Insurance for your diamond??? Waste of money
I live in the midwest and I pay a little over 1% a year, I believe my last bill for around $115 for around $13,000 of coverage and it is thru State Farm and its with my homeowners insurance. I do not insure everything but the pieces that are worth more then $1500 are insured.
I live in the midwest and I pay a little over 1% a year, I believe my last bill for around $115 for around $13,000 of coverage and it is thru State Farm and its with my homeowners insurance. I do not insure everything but the pieces that are worth more then $1500 are insured.
- Joined
- Apr 3, 2004
- Messages
- 33,852
Dreamer_D
Super_Ideal_Rock
- Joined
- Dec 16, 2007
- Messages
- 28,266
Re: Dis You get Insurance for your diamond??? Waste of money
My ring is worth $15k.
My insurance is $120 per annum with a $100 deductible.
At that rate it would take $125 years for my premium to exceed the cost of my ring I also cannot afford to self-insure (i.e., pay to replace is damaged or lost). So I have insurance.
I do not insure anything of lower value that I can afford to replace.
As my husband says, insurance is for peace of mind. Its worth it to me.
ETA: Read the policy before you sign on the line. Many cheaper policies -- like riders on your home insurance -- do not allow you to choose the replacement diamond from the vendor of your own choice. This is a problem if you have an upgrade policy you may want to protect, or if you have a rare and unusual piece like a vintage ring or cut.
My ring is worth $15k.
My insurance is $120 per annum with a $100 deductible.
At that rate it would take $125 years for my premium to exceed the cost of my ring
I also cannot afford to self-insure (i.e., pay to replace is damaged or lost). So I have insurance.I do not insure anything of lower value that I can afford to replace.
As my husband says, insurance is for peace of mind. Its worth it to me.
ETA: Read the policy before you sign on the line. Many cheaper policies -- like riders on your home insurance -- do not allow you to choose the replacement diamond from the vendor of your own choice. This is a problem if you have an upgrade policy you may want to protect, or if you have a rare and unusual piece like a vintage ring or cut.
- Joined
- Jul 21, 2004
- Messages
- 9,159
Re: Dis You get Insurance for your diamond??? Waste of money
Any idea why? Who's your insurer? What's your declared value? Are you in Manhattan or Detroit? Have you shopped it? 2.7% is definitely at the high end of what I've seen and it usually has to do with the Chubb cash policies (which are often priced in that range), what the insurer counts as a high risk address, or extremely high values coupled with what they count as a risky profile or a bad claims history.Dancing Fire|1361317612|3384819 said:1% sounds fair but i am not paying 2.7%..diamondseeker2006|1361311720|3384718 said:
How to Buy the Best $25,000 Engagement Ring: A Smart Shopper’s Guide
How to Buy the Best $25,000 Engagement Ring: A Smart Shopper’s Guide - 02/24
300x240.png)