Which appraisal should I use to insure the E-ring?

[Murander]

I'm thinking of insuring through Jewelers Mutual. My independent appraisal came in at about $9,500. The vendor's appraisal comes in at much higher with $13,000 (I paid less than both those prices). I'm not worried about paying the extra $50 a year, but I also don't want to unless there is a good reason.

Anyone familiar with the pros/cons of insuring with the higher appraisal value?

Thanks

 

[OCmom3xboys]

Is the $9500 the replacement value and $13,000 is the retail value? Or are the both replacement value? Insurance companies only pays you for replacement value.

 

[Murander]

The $13,000 is the "total new retail replacement value" on the appraisal report from the vendor.


The independent appraisal report also states "retail replacement value".

 

[Amys Bling]

hmm, the pro of submitting the higher appraisal to the insurance company and paying the extra 50 a year is that- with diamond prices increasing, if you were to need to replace your ring in the next year or two- the higher insurance would definitely cover the price. The lower one might- with the continual increase in pirces- not be enough to allow you to replace with a similar ring... just my thougths, but someone else chime in with their view.

 

[confusedaisy]

hmm, the pro of submitting the higher appraisal to the insurance company and paying the extra 50 a year is that- with diamond prices increasing, if you were to need to replace your ring in the next year or two- the higher insurance would definitely cover the price. The lower one might- with the continual increase in pirces- not be enough to allow you to replace with a similar ring... just my thougths, but someone else chime in with their view.

I COMPLETELY agree with Amy. I was planning on insuring mine for whatever price came in highest (luckily they came in at the same amount). These price increases are nuts and if I wanted to get a similar diamond today (only 2 months after purchase) I would need to spend over 1K above its original price. Unless you really can't afford the price hike between the 2, I would go with the higher amont.

 

[Dreamer_D]

hmm, the pro of submitting the higher appraisal to the insurance company and paying the extra 50 a year is that- with diamond prices increasing, if you were to need to replace your ring in the next year or two- the higher insurance would definitely cover the price. The lower one might- with the continual increase in pirces- not be enough to allow you to replace with a similar ring... just my thougths, but someone else chime in with their view.

I COMPLETELY agree with Amy. I was planning on insuring mine for whatever price came in highest (luckily they came in at the same amount). These price increases are nuts and if I wanted to get a similar diamond today (only 2 months after purchase) I would need to spend over 1K above its original price. Unless you really can't afford the price hike between the 2, I would go with the higher amont.

I agree BUT how much did you pay? If the $9500 value is already higher than you paid it might be enough padding. A new appraisal only costs about $50 so if you had to do it in a year, you have lost nothing by opting for the lower one in the event that prices keep skyrocketing. On the other hand, you might save a good amount in the longer haul if the lower appraisal value offers adequate padding.

This reminds me I need a new appraisal already

 

[diamondseeker2006]

Ditto to Dreamer. If you paid less than $9500, then you are fine with using that appraisal for awhile. It will cost you less to reappraise in 3 years if diamond prices continue to climb than to overpay premiums, but there's also a chance they are near or have reached a peak and you are enriching no one but the insurance company by overinsuring.