Insurance question

[Allisonfaye]

Ok, so I think I have settled on a stone for my upgrade but I made sure it was a good performer on the HCA. However, I noticed that 90 percent of the stones labeled triple ex on diamond websites, are not well performing on HCA. In fact, some of them were below a 6. SO, my question is this. If I insure my diamond, in the event of a claim, they don't have to pay $$. They get a 'similar' diamond. But if you are buying in the top 10% of the triple ex, how do they know that? An appraiser told me to have it sent to AGS because they have stricter standards. Thoughts?

 

[Winks_Elf]

Typically insurance companies will replace with a "like stone," and unless your appraisal states a branded ideal cut or branded cut they can replace the diamond in the event of a loss with what they deem to be similar. They won't take into account the HCA score.

 

[rockysalamander]

The best you can do is to get the details of your diamond, including angles, recorded in the insurance paperwork. They won't like it and might be difficult, but if you can get them to record the 4-key parameters in describing the diamond, you are in a better position. So, if you can get a GIA qualified appraiser to describe the diamond in the narrative to include the angles - you are better off. So, they could describe the stone as "1.51 carat round brilliant diamond, graded by GIA as H color, VS1 clarity, with a depth of 60%, table of 57%, crown angle of 34 degrees and pavilion angle of 40.5 degrees with a pointed culet. The diamond achieves a 0.4 on the Halloway Cut Adviser and is within Tolkowsky's Diamond Proportions with complimentary angles. The IdealScope image shows Excellent performance and the Angular Spectrum Evaluation Tool image shows bright red throughout (attached) ". You get my drift. Get the appraiser to really detail why this diamond is not in that 90% to provide a narrow field of "like" kind and quality.

Provided you go with an insurer that will allow you to select the jeweler or source of the stone (e.g., Jewellers Mutual, Lavalier, others), you can manage this risk. In lieu of that, then I suppose a AGS cut grade being more strict may be helpful so that you can require a GIAXXX and AGS000 (or whatever they come back with). Just be aware that there is some judgement that may differ between GIA on color and clarity, so you could gain or lose in that regard.

 

[diamondseeker2006]

Th GIA report is part of the appraisal. So I think you can refuse any stone that is not close to the same angles you have (or an equivalent HCA score, for your own purposes). The only negative about sending to AGS is if it doesn't get ideal cut, light performance, polish, and symmetry. YOu just have to refuse stones until they offer you one that is equally well cut.

Otherwise, you can go with a cash out policy. Check with Touchstone Insurance for a quote.

 

[Allisonfaye]

I just spoke to my agent and my company does it by the $$ amount. So that's good. They cut you a check.

 

[vanstaal2014]

May I ask which company are your diamond insured by? Are they affiliated with JamesAllen? Thanks

 

[Allisonfaye]

No, my insurance company is Encompass which is owned by Allstate. I haven't gotten a quote yet.