Insurance Question

[jez1973]

Hi There!

I have been using this forum for quite a while now as I have found it to be very informative. I researched this forum and then bought my ring from whiteflash. I proposed recently and my fiancee could not be happier. I do have a question regarding the insurance of the ring.

The appraisal that was provided by whiteflash was way above the price I paid for the diamond with ring (double). It is a 1 carat hearts and arrows diamond with an AGS certificate (G, SI 1)

I got the ring reappraised from a certified gem laboratory who appraised the ring for an amount in between the price I paid and the appraisal whiteflash provided.

The problem is that the new appraisal does not state that the ring is ''hearts and arrows'', just the regular info on a GIA certificate (color etc.). When I came to insure the ring with State Farm I had the option of going with the newer appraisal and paying less but have the possibility of (God forbid), having the ring lost and then replaced with a ring that is a non hearts and arrows which would be of much less value to that what I paid for. I know this would happen after reading posts about State Farm.

The other option I had was to pay the higher premium on the ring based on the appraisal whiteflash provided, which states hearts and arrows. If the ring is lost then we would get a hearts and arrows ring replacement. I went for the latter but was this the right thing to do?

Any suggestions would be greatly appreciated.

Sorry for the length of the post.

 

[oldminer]

I feel pretty sure that Whiteflash could provide you an appraisal with a more discount oriented insurance value and you'd have all the documentation and insurance you need (and more). The other appraiser might also be willing to give you a "discount" retail oriented appraisal.

If no one is willing, we can handle it for you at a nominal cost, but I doubt you'll have to spend another penny to get this all done.... Just a few moments on the telephone should do it.

 

[dimonbob]

"The appraisal that was provided by whiteflash"

Hi, Whiteflash does not do appraisals. Whiteflash provides a verification letter from an independent appraiser that the diamond matches the report and is not damaged in any way. The appraiser also puts a value on the verification letter but that is not an appraisal and should not be used as such. I know that when an appraiser opens his mouth and gives a value or puts a value on paper it is often thought of as an appraisal but the paper clearly states that it is a verification letter.
Every person that owns a significant, in your eyes, piece of jewelry should have a proper appraiisal done and have it insured.

 

[newenglandgemlab]

Hi,

I wouldn't want to be paying premiums on the higher 'inflated' appraisal value. A much more realistic figure should be closer to what was actually paid for the item. Check with your appraiser and ask them to put in a statement that it is a hearts and arrow stone. I am sure they will accommodate. Cindy

 

[jez1973]

Many thanks for all your comments. I think I will contact my recent apraisal laboratory and have them make some changes.

Jez.

 

[k-man]

I'm in somewhat of the same predicament. What are the pros and cons of doing the following:

I have my appraisal for $17,500. I bought the ring for $6,100. Can I simply tell the insurance company I only want to insure it for $7000? Will they do that? What are the pros and cons of doing this?

 

[canadiangrrl]

Yes, you should be able to insure your ring for a lower amount than the appraisal. My fiance just insured my e-ring through Chubb, and I believe that was an option. We have a realistic appraisal that we are happy with, so we insured it for the full appraised amount, and he paid something like $12 per $1000 per annum.