Insurance during setting?

[kenny]

I just called Steven Kretchmer, a jeweler that sets diamonds.
(BTW they said they do have some tension settings that would accomodate a 2.26 ct. asscher.)
They said if they damage the stone during setting it is MY risk.

Does anyone here know if Jeweler's Mutual or Chubb covers a loose stone during setting?

 

[mrssalvo]

hi Kenny,

you can do a search here but i''m pretty sure jewelers mutual does have a policy that will insure the stone while it''s being set..

 

[SKR]

Sorry can't answer your question but I have read this a few times now and I cant believe that it is the customers risk !! Somewhat outrageous. It may be that the premiums for professional cover are ridiculous but I still fail to understand the concept.

When a driver at my local garage comes to pick up my car and take it to the garage for a service, it's the garages insurance that covers him to drive my car.

When I built an extension to my house, my builders insurance covered the resulting adjacent crack to the brickwork.

When my lawyer screwed up the lease renewal application for my flat, then his professional indemnity insurance covered the resulting fallout.

When I was having huge two trees cut, then it was the tree surgeons insurance that provided $5m of maximum cover if the trees fell in the wrong direction and caused damage to my property. I couldnt even imagine having to pick up the tab for a professional or accidental error
(or even not at fault) by an expert to whom I am paying a fee to carry out a service.

 

[kenny]

I agree.
It is outrageous.

Must be because of the high value of the diamonds.
It does not give you confidence in your jeweler though.

 

[decodelighted]

Date: 11/27/2006 6:27:05 PM
Author: kenny
I agree.
It is outrageous.
Must be because of the high value of the diamonds.

I think it has to do with the risk/reward ratio ... sometimes the jeweler will assume the risk if you purchase the stone & the setting from the same place. The jeweler stands to gain XXX amount because of the total sale. A jeweler who is only selling a setting ... why would they assume such a huge risk for a large diamond when their profit margin is so thin? Especially with delicate tension settings that require GREAT skill to set - yet, are often made of less expensive materials: more work, less profit, more risk, less reward.

I''m kinda psyched you might go with Kretchmer though Kenny ... their workshop is nearby & it would be nice to have that stunner close by ... at least for a little while!

 

[kenny]

Don't be naughty.

http://i5.photobucket.com/albums/y181/painter9149/burgler1.jpg

http://i5.photobucket.com/albums/y181/painter9149/burgler1.jpg

 

[denverappraiser]

Jewelers Mutual does this although it requires a special type of appraisal that includes the plan for the finished piece even though it doesn’t yet exist. Ring up Jonathan and I suspect he can provide something for you with the data he already has and with the advertisement from Kretchmer for what you want. Since it doesn’t yet exist, there’s nothing to inspect that he hasn’t already seen.

If you''re in a state where you can get a Chubb policy, they will often bind a policy on a loose stone and this policy should cover jeweler caused damage during setting. Ask the agent.

I agree that it seems fair but there is some logic behind it. Obviously there’s an insurance component to any setting job and, for very expensive stones, this becomes the most expensive part of the job. Jewelers can’t get insurance that covers craftsmanship of their own workers because the insurance companies would find themselves inundated with jewelers who hire crappy craftsman who will work cheaper so they must self-insure against this sort of losses. Personally, I think they are nuts not to take it with a smile, raise prices to accommodate the added risk and hire and train workers who don’t break things but people seem to be remarkably sensitive to the cost of labor and many stores don’t feel that they can charge enough to be able to make this part of the package. In the case of the tension settings, I think the risk is a little higher than with most setting jobs and it makes sense for everyone to have you buy a 3rd party policy that covers it. You CAN buy it, they can’t.

Neil Beaty
GG(GIA) ICGA(AGS) NAJA
Professional Appraisals in Denver

 

[decodelighted]

Date: 11/27/2006 6:42:48 PM
Author: kenny
Don''t be naughty.

*warming up the getaway car*

p.s - I''m so happy for you - you & your analytical noggin are gonna FLIP for that baby!

 

[kenny]

Now you are posting the big rocks.

Those are for the big boys and girls who don''t have to work for a livin.

 

[decodelighted]

Date: 11/27/2006 6:59:20 PM
Author: kenny
Now you are posting the big rocks.

That''s the biggest Asscher ever ... The Star of America ... over 100 carat D flawless! It''s cool to see the shape & cut that HUGE though ain''t it!

 

[kenny]

Whaaa!

I'm already getting DSS!

Whaaa!

 

[starryeyed]

If you have trouble finding insurance, perhaps you could find out the policies of different tension setters. Here are a few. My friend has a Neissing ring and has never had trouble. Gelin Abaci seems popular, but I don''t have any personal experience with them. I would agree with you that the setter should have insurance if they wreck the diamond - SKR''s comparisons make a lot of sense.

Neissing

Gelin Abaci

 

[tdiddy]

i looked for the same type of policy when we were getting my ring set. i tried to get a chubbs policy, but the agent i dealt with insisted that they wouldn''t cover it - although i have heard differently on this forum. probably lack of experience b/c the agent seemed puzzled as to why i would even be in that situation or maybe the state i am in.

long story short, i talked to 3 jewelers. 2 would assume the risk and were insured for setting my stone. 1 would not. of the 2 jewelers that would assume the risk, only one did tacori settings so i narrowed it down accordingly.

i don''t know if another jeweler is a possibility for you or not, but it might be worth it to call some others and see if they will assume the risk.

 

[Eva17]

I find this VERY frustrating also. I have a diamond that I would like to have recut and then reset, but I find it disheartening that the responsibility of the craftmanship doesn''t fall with the craftsmen.

 

[denverappraiser]

Date: 11/28/2006 9:55:12 AM
Author: Eva17
I find this VERY frustrating also. I have a diamond that I would like to have recut and then reset, but I find it disheartening that the responsibility of the craftmanship doesn't fall with the craftsmen.

Ask the craftsman for a price that includes this assumption of risk. Many will be willing to accomodate you and I would be surprised if it costs more than a few percent of the value of the item. This would be a problem for a cutter because of the inherent nature of the activity but it's not all that hard to find a setter who will agree. At the right price, you can probably get a cutter as well but I've never tried.

Neil Beaty
GG(GIA) ICGA(AGS) NAJA
Professional Appraisals in Denver

 

[sfritz]

Hi, Kenny. Jewelers Mutual provides insurance that will cover your stone and setting during the setting process. We ask that you obtain an insurance evaluation/appraisal for the stone and the setting. We are looking for a complete description and a retail replacement value so if you have a loss you get a replacement or repair with the same quality. You complete an insurance application, either online or using the paper form, and send us the insurance evaluation/appraisal. Once you are notified that you are insured, tell the jeweler to set the stone. You are insured for 12 months for loss, theft, damage, and mysterious disappearance.

Jewelers may refuse to take the risk of setting a stone they did not sell because they made no profit on the sale of the stone. If they chip the stone during the setting process, there is no profit from the original sale to fund a replacement or recutting. While diamonds are hard, they do break. Typically, jewelers do not require insurance if they sold the stone.

Sue Fritz
Jewelers Mutual Insurance Company

 

[angeline]

Hi Kenny,

I bought my stone from WF and am having MWM do the setting too. I tried to get Chubb yesterday with Bill Castro at Total Dollar as I"ve read so many good things about Chubb. I couldn''t speak to him but another of the Personal Insurance people spoke with me and said I couldn''t get it as a standalone policy because it''s not an engagement ring. Go figger!

Anyway I rang Jewelers Mutual and was very happy with the service and answers to my questions. You can work with any jeweler you choose (as long as they have a physical presence so GOG qualifies there) to get a replacement of the quality of your old stone.

I just uploaded my sales receipt, cert and Sarin to them online as I don''t have an appraisal of my stone but I do have the cert which is referenced on the sales receipt and also the Sarin data. I also included the email quote from Mark. They assured me this would be sufficient to cover my stone during setting.

I have to say JM made it very easy and it was so easy to get to talk to someone. Which after many tens of phone calls to various Chubb agents was refreshing. I do like the Chubb cash-out policy but I just couldn''t seem to get anyone to cover me, given that it''s not an engagement ring.

Anyway I hope this is of some help to you. I can''t wait to see what Mark does with your GORGEOUS asscher!

cheers, a

ps Sue if you read this can you confirm that I have been told the correct info?

 

[angeline]

Just in case anyone else reads this I wanted to update: Bill Castro just called me back and the engagement ring only thing is not true. They will cover any type of jewelery.

 

[Garry H (Cut Nut)]

why not ask GOG to have it set for you through Kretchmer?
They sold the diamond and therefore can accept responsability to set it

 

[diamondseeker2006]

Date: 11/30/2006 2:37:46 PM
Author: Garry H (Cut Nut)
why not ask GOG to have it set for you through Kretchmer?
They sold the diamond and therefore can accept responsability to set it

I can''t see this at all. Why would GOG take responsibility when they are not setting the stone?

 

[Londonchris]

This business about who is responsible for a damaged stone is quite a tricky one!
MOST independant stone setters (including myself) will NOT take the blame for any mishap.
WHY?
Because,basically any stone, diamond or otherwise may have an unseen weakness,needing only a slight pressure while setting to chip (think corners and edges).
Now considering you may have a few thousand dollar stone,how much do you think a setter gets for doing the risky job?
I bet a max of $10 ! no joke.
You want us to take a risk for that money and pay out if something (unforseen) happens.Bearing in mind we (hopefully al settersl) would be taking utmost care at all times.
Now can you see why?
Bigger companies can handle the risk,though i would advise to get insurance.
Highly unlikely something would go wrong but....you can never tell.