Insuring Center Stone Only?

[Prufrock]

Will insurance comapanies insure just the diamond (=center stone)?




I am looking into the option of having just my 1 carat center stone appraised and insured since it is approx 85% of the total value of the engagement ring.




Also, what is the typical rate for insuring a diamond jewelry? On another thread, I read $200/yr for $10,000 ring. So is around 2% of the appraised value per year typical?

 

[frugal]

Also, what is the typical rate for insuring a diamond jewelry? On another thread, I read $200/yr for $10,000 ring. So is around 2% of the appraised value per year typical?

I can tell you that to figure "typical", it depends WHERE you live. I live in the Seattle area, and it is about $27 for a rider for $2000 ring (1.35%). I would not be surprised if places like New Orleans would be a lot HIGHER (because of Crime Rate).

 

[oldminer]

You will not be able to insure the stone only without the mounting. You possibly can take a deductible that reduces the cost of insurance and leaves you partially responsible for the first $250, $500 or $1000 of any replacement or damage claim. In Philadelphia you can pay as high as 3% per year for coverage of high value items. The norm is more like 1.5% for regular jewelry and semi-suburban living situations.

One thing to avoid is an overly high appraisal which far exceeds the acutual cost of a very recent purchase. A new item may be insured right near actual cost unless it was such a special price that a replacement could never be obtained at that price. A very rare circumstance no matter what a seller might have told you to the contrary.