"Lifetime Warranty" - worth it?

[AriaStereo]

Hello everybody! Long time reader, first time poster.

My fiance and I are in the market for a ring. I say custom setting from local jeweler, he says go for the designer setting from a more reputable store that offers "Lifetime Warranty". Seems like other jewelers don''t offer this, but is it worth it? This is what they claim:

"Our "Lifetime Diamond Warranty" gives you these guarantees for life at no charge.

Replacement Diamond
If your diamond chips or cracks or separates from the mounting, we will replace it for a lifetime."

The price difference is $2000. He wants the peace of mind... what do you think? Is it worth the price difference? Any advice would be greatly appreciated!!!! Thank you so much!

 

[LadyluvsLuxury]

If you plan on insuring your diamond I would not worry about a jeweler''s "lifetime warranty". Often times these warranties do not cover the things you would actually need it for (kind of like the warranty on a car

).

 

[MissAva]

Personally I dont like the fact that is says from the mounting. It seems like that would be hard to prove and easy to dispute. I would not pay 2000 for that. JMO

 

[mrssalvo]

i would definitely read the fine print. It seems unusual for a jeweler to say, "oh you have a chip, here let me give you a new diamond.."

 

[FireGoddess]

I concur with the comparison LLL made with a car warranty...sounds great at the onset but by the time you need it, it always seems that whatever your "problem" is, is somehow mysteriously "not covered" under the agreement. It sounds great in principle...no matter what happens to the diamond, the jeweler will replace it...but I have never heard a story here on PS where a customer who actually had that sort of agreement EVER got the new stone. I''ve only heard tales of woe where the jeweler refused to give them a new stone. And let''s face it....I wouldn''t want to assume responsibility (and cost) if somebody broke something I gave/sold them...that would fall under their responsibility. I think you should nix the extra $2K and forget the warranty...a good insurance claim is your warranty, and with the right one, YOU''D get to pick your new stone with the cash payout instead of having someone else give you a "suitable substitute." Just my $0.02.

 

[DiamondExpert]

You would be paying someone up front for the cost of what you would pay in insurance premiums over the long term.

It''s kind of like giving the gov''t an up front loan by having your income over-deducted on a monthly basis and getting it back at the end of the year.

 

[perry]

Lifetime warranties are almost always just a sales gimick to make you feel better about buying, and nothing about actually covering a future claim. They typically contains so many exclusions or inspeciton requirments (i.e. You must bring the ring in for cleaning and inspection every 6 months). You will often pay for that cleaning and inspection - and if you are late just once you have voided your warrantee (trust me - they will keep detailed records that will "magically" appear when you have a claim).

You are far better off just buying insurance from a respectable insurance company. Bettter yet, if you have the will power - start a savings account based on the cost of the insurance. In almost all cases you will be better off over the years or so with that approach.

Perry

 

[diamondsbylauren]

Here''s a point which has not been brought up:
What kind of diamond are we insuring- how much is it?

If you''re buying a $500,000 pink, $2000 for a lifetime warrantee may be the bargain of the century.

If it''s a $500 .12 J I1, it''s a huge rip off.

Likely, there ar so many holes in the replacement guarantee that it''s not worth spending $2000 on- but please- give us the specifics- you''ve got ME curious!

 

[RockDoc]

I totally agree with David here......

I might also add there could be a very interesting controversy over the validity of the agreement they make with you.


It sort of parallels with "if it looks like a dog, and smells like a dog, it IS a dog".


Warranties such as this one may be could be considered actually insurance. And those that sell it have legal requirements as to the filings with the state insurance commissioner''s office, as well as those selling it to be licensed agents.

Let''s say that you have a problem, and they make an excuse not to pay. You think its unfair so you sue. The trier of fact ( judge or maybe jury) say it isn''t a valid contract because it actually is insurance, and the contract didn''t meet the legal requirements of the state. You might or might not win your case.

This would be particularly true if the sellers gives you an option of whether you want this warranty or not. IF you can buy the stone without the warranty for $ 2000 less, then it appears to me to be selling insurance, rather than a warranty.

Another viable question is - "Is the warranty transferable"? If you''re 60 what is the difference in the definition of "lifetime" as compared to a child? Is it even the lifetime of a human? I know this appears "petty" but gotta ask to be "smart" about this decision.

Most of the "Lifetime Warranties" I have seen have these very small but important words... Manufacturer defects.
Try proving a chip was a manufacturers defect...not as easy as you''d think.

Rockdoc

 

[perry]

RocDock....

Oh you like pointing out the obvious about such warranties.

I once sold a respected brand of replacement windows (Thermal-Guard). Part of the education was the study of all of the competitor "lifetime warranties"

It is amazing how many companies only warranteed that the color of the vinyl would last a lifetime.

Better yet, was the companies that warrantied the window for its lifetime (i.e. for only as long as it still worked; once it broke it was no longer under warrantee).

Of couse there was one company that did in fact provide what looked like an enforcable lifetime warrantee; if you shipped the failed window (frame and all) at your expense to the factory for inspection - and if they determined that the window failed due to manufacturing defects.

Every warrantee but the Thermal Guard warrantee excluded problems caused by "improper handling and installation" (show that the window damage was not caused by improper handling and installation).

I will note that most multipane glass fails in less than 10 yeas because of the way the glass is sealed and mounted. I did not read a single "lifetime" window warrantee that guaranteed the glass seal for more than a few years. Thermal Guard windows use a completely different method of sealing and mounting the glass panes (more $), but in the end it is worth it.

You did point out that there are legal issues with the term of "Lifetime" It varies state by state - but some states do not recognize it as a valid measure for consumer protection because the lifetime of the product is only as long as it last.

Now of course the window companies do in fact "cover" some window replacements just to keep their reputation intact; but get a whole housefull of failed windows and see what their reaction is...

Thermal Guard windows are warranteed for 50 years to whomever owns the house they were installed in. They are only installed by the Thermal-Guard rep - which is why Thermal Guard covers any handling and installation damage. That has a rock solid legal interpretation.

If not for my allergies I would still probably be selling them today (highly allergic to cats & smoke). It''s a great product.

As far as diamond "lifetime" warrantees. I will warrantee to anyone that it will remain a diamond for its life (and I think that was about the only meaning of one of them that I looked at that did not have exclusion clauses attached).

Perry

 

[AriaStereo]

I was incompetent with coming up with arguments why this "Lifetime warranty" sounds a little too good to be true. To him, he thought I was just freaking out. My fiance didn''t really believe me and was keen on getting it from this store. If any of you are in Southern California, you may know of the "world''s largest engagement store". We were looking at an asscher cut, 0.8ct, VS2, F for $5145. Overpriced, yes I know. I really didn''t want him to get gipped, but if he continued doing his business with them, I''m sure that''s exactly what they''re doing to him.

You guys are right: the ring has to be taken into their store every six months for free services in order to keep the warranty. The thing is, we may not be in California any longer, and they only have one store in the whole nation... Anyway, I finally knocked some sense into his head. He did some online insurance quotes and decided that insuring the diamond with an insurance company is the more economical route to go in the long run. Heck, you don''t need to be a genius to figure out that jewelery stores are not insurance companies...

Thank you for everybody''s advice, truly.