Insurance/Appraisal for Oval stone

[chchchanges]

Hello,

We are in the process of buying an engagement ring together and have picked out an oval stone (1.7 carat, F, VVS2). I love ovals but had a difficult time picking one out because I wanted a very minimal bow-tie. We looked at a lot of stones and ended up finding one that has practically no visible bow tie. The stone itself cost us $17,400 and another $1000 for the setting so we are looking into insurance. We would like to go with USAA because it is cheapest and takes some of the premium off our renters insurance. I am weary of going with them as I know they will pick out stones, ect, but based off this post by the_mother_code I think we can use USAA if our wording is specific enough. Can we ask our appraiser to include certain wording to help us avoid a bow-tie should I ever need a replacement? What would that wording be?

 

[diamondseeker2006]

If the stone was lost, you'd then work with someone who'd be looking for a replacement stone with the specs similar to the old stone, and at that time you send them photos of this diamond (which should be sent with the initial appraisal anyway), and tell them you expect a very small or no bow tie. But you can also ask that the sales receipt describe the stone has having minimal bow tie. I prefer insuring with a detailed sales receipt and diamond grading report or have that jeweler write up and insurance valuation for the exact price you paid. Too often other appraisals inflate the value.

 

[denverappraiser]

Photos are helpful here but, in general, there is no accepted standard for evaluating a bowtie. A statement of 'minimal bowtie' is going to be unsupported and will be taken in the same vein as a statement of 'beautiful' or 'firey'. You can win with photos and a lab report, sometimes, but expect a fight on this sort of thing at claims time. USAA is among the worst at this. They own a jewelry store and they like to do their own replacements. Their vendors don't evaluate bowtie, so they don't do it either.

 

[Modified Brilliant]

What Neil said. Well said.

 

[oldminer]

You can't get insurance at the lowest cost and still get the sort of personalized service you feel is necessary. I share the sentiments of Neil and Jeff. If you want to be in the driver's seat on a replacement, it would be best to find a cash value insurance company that just sends you a check if there is a loss. If not one of those few companies, then choose an insurer that will put you in the hands of a retailer that you can at least have a meaningful conversation with about what you lost. The alternate choice, is to buy insurance at the best price and take your chances. If you never lose the diamond, the least costly alternative looks acceptable.

My own feeling is to buy insurance that covers me the way I wish to be covered. I'd personally prefer to pay for the level of service and coverage that works best for me. There is no universal rule for how others do their insurance buying. Thankfully, you are aware, in advance, of the USAA situation both on premium cost and in making a replacement. You are way ahead of many consumers in understanding the process.