Insurance on ring purchase

[jarbatz]

How do we get the ring insured once its purchased? Does it get added to our homeowners policy or is it insured separately? Does the jeweler set that up? What is the cost?

 

[niceice]

Date: 5/12/2008 8:02:25 PM
Author:jarbatz
How do we get the ring insured once its purchased? Does it get added to our homeowners policy or is it insured separately? Does the jeweler set that up? What is the cost?

Jewelers generally do not sell insurance policies because they are not licensed insurance agents. A few jewelry stores offer in-house policies, but I''ve yet to see one that is worth the paper it is written on. Obtain a jewelry rider from your homeowner''s or renter''s insurance company that provides specific coverage for the ring for accidental loss, damage, theft, fire, etc. the cost is quite reasonable, but it varies from company to company. The last quote I recall was something like $80.00 per $10k worth of coverage per year, but keep in mind that just happens to be the last number that is floating about in my head for this sort of thing.

 

[denverappraiser]

Rates vary quite a bit based on the details of the policy and the city of residence. 0.8% of declared value is quite inexpensive. Typical seems to be 1-3%.

Declared value is a tricky thing. The insurance company usually asks for an appraisal and customers naturally ask their jeweler to provide it. The jewelers like to give documents with high values because it makes them look good but it’s not really doing you any favors because it increases your insurance rates without increasing your coverage. Do a search in the forum for ‘insurance’ and you’ll get lots of threads discussing this problem. Seek out a professional appraisal, it can save you a bunch of money on insurance (among other benefits)

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