Jewelry holds a special place in our hearts – a family heirloom passed down tan engagement or anniversary ring. These items not only carry emotional value but can also represent a significant financial investment. Unfortunately, accidents happen, and jewelry can be lost, stolen, or damaged. That’s why insuring your jewelry is one of the most important steps you can take to protect these items.
Why Insure Your Jewelry?
Accidents Happen Even the most careful among us can misplace or lose jewelry. A ring slipping off while swimming, a necklace getting caught and breaking, or an earring going missing during a busy day, these moments are more common than we might think.
Theft Jewelry is a common target for theft. Burglars know the high value of these items, and losing a prized piece to theft can be devastating.
When it comes to insuring your jewelry, there are two primary routes:
Homeowners or Renters Insurance Many people don’t realize that their homeowners or renters insurance might already provide some coverage for personal items like jewelry. However, the coverage is often limited in value, usually capping the payout at a relatively low amount. This means that high-value pieces may not be fully covered.
Scheduled Personal Property Insurance This is an additional coverage you can add to your homeowners or renters policy, specifically for high-value items. Scheduling your jewelry on your policy provides more comprehensive coverage and typically covers more scenarios, including mysterious disappearance (when the item is lost without a clear reason).
What Does Jewelry Insurance Cover?
Jewelry insurance can cover a wide range of scenarios, depending on the policy you choose:
Loss: Coverage for pieces that are lost, whether it’s a lost ring or an earring that falls out.
Theft: Financial protection in case of burglary or theft.
Damage: Covers repairs or replacement costs if your jewelry is damaged.
Worldwide Coverage: Some policies offer coverage for items no matter where in the world they are lost or stolen, providing peace of mind when traveling.
How to Insure Your Jewelry
Get an Appraisal To ensure you have the right amount of coverage, it’s important to know the exact value of your jewelry. A certified appraisal will give you a clear understanding of the replacement cost, ensuring your policy covers the full value.
Choose a Policy Work with your insurance agent to determine the best type of coverage for your needs. Be sure to ask about any deductibles, coverage limits, and exclusions.
Keep Documentation Keep receipts, appraisals, and photos of your jewelry in a safe place. This documentation will be essential if you ever need to file a claim.
You can schedule your jewelry on your home or renter’s policy, or you can purchase a stand-alone policy. Jeweler’s Mutual is one option.
Your engagement ring is more than just a piece of jewelry. It’s a reminder that you’ve found your person and you’re ready to build a life together.
But on the practical side, an engagement ring is a big financial investment. Even if you’re careful, life has a way of serving up surprises. Your ring could slide down the kitchen sink while washing dishes… get swept away in the waves at the beach… get stolen… or even be eaten by the family dog. (Trust us – we’ve seen it all.)
Here’s the good news: Personal valuables insurance from Erie Insurance is designed to protect those expensive, hard-to-replace items like your engagement ring.
ENGAGEMENT RING INSURANCE: 4 COMMON QUESTIONS
Is my ring covered under my homeowners or renters insurance?
That depends on how much it’s worth. In most cases, standard homeowners and renters insurance only cover theft of jewelry to a specific dollar amount – that’s known as the “sublimit.” At ERIE, the sublimit for lost or stolen jewelry is $3,000. This covers any single piece of jewelry and the total amount lost or stolen.
However, many engagement rings are worth more than $3,000. According to The Knot’s 2017 Real Weddings study, the average couple spends $6,351 on a new engagement ring (up 25% from $5,095 in 2011).
With that in mind, it’s a smart decision to consider insuring your engagement ring on its own. (In insurance lingo, this is known as “scheduling.”) When you schedule a piece of jewelry, such as an engagement ring, you can insure your jewelry based on its cost or appraised value, rather than limiting coverage to the $3,000 sublimit associated with a homeowners or renters policy.
How much does it cost to insure an engagement ring?
On average, ring insurance costs $1-2 for every $100 your ring is worth. That means an insurance policy for a $5,000 ring would typically cost around $50-100 per year.
When it comes to cost, ERIE gives you options. You can save money on your premium by choosing from a range of deductibles – that’s the amount of money you’d be willing to pay out of pocket toward an insured loss. Or, you can opt to have no deductible at all (and pay a little more in premium). It all depends on your personal preference and financial situation.
Should I get my ring appraised?
Always save the receipt for your ring and any appraisals you’ve had done on it. This can give you an idea of how much you should insure your ring for, as well as document any unique identifiers for your ring if it’s ever lost or stolen. An appraisal will typically look at the ring’s stone shape and quality (measured by carat weight, color, cut and clarity); metal type and fineness; and any identifying marks, such as an engraved serial or certification number.
Generally speaking: If your ring is worth less than $7,000 and/or newer than seven years old, then you don’t need to get it appraised.
However, fine jewelry usually appreciates in value over time, so reappraise your ring periodically after that seven-year mark to make sure you’re still insuring it for the right amount.
Do I need to clean or inspect my ring?
Losing a ring – or losing a stone from the setting – is a more common reason for filing an insurance claim than having the ring stolen. Many times, accidents can be prevented by having your ring properly cleaned and inspected. A jewelry professional can tell if the prongs are getting loose and help with small repairs before it becomes a bigger problem.
Your Erie Insurance policy is our pledge to be there when you need us. You can sleep better at night knowing we’re there to protect everything that matters most. Request a quote for personal valuables insurance or reach out to Castle Insurance to learn more.
