Imagine you’re washing dishes after dinner. You look down to see the diamond has fallen out of your engagement ring’s setting. Jewelry insurance can help ease the emotional and financial pain of losing or damaging a valuable piece of jewelry. However, not all jewelry insurance is created equally. Companies that specialize in jewelry insurance can offer you peace of mind as you wear your favorite items from day to day.
Fine jewelry, particularly pieces like engagement rings, wedding bands, and heirloom pieces, are often quite valuable, both financially and emotionally. If they’re lost, damaged, or stolen, with no jewelry insurance, you would be solely responsible for the cost of replacing the items. Jewelry insurance protects your prized treasures and provides you with financial coverage to replace important and valuable pieces with little to no out-of-pocket expense.
Some renters or homeowners insurance policies cover jewelry up to a certain amount, usually $1,500, though it varies depending on the policy. That might be fine for you if the majority of your pieces have a low monetary value. However, if you have individual rings, earrings, bracelets, or necklaces worth more than the top coverage amount offered in your renters or homeowners insurance, you’ll want to get insurance for those pieces separately.
Some traditional renters or homeowners insurance companies offer riders for an additional cost to cover high-value jewelry pieces as an add-on to a current policy. It’s worth looking into, as it may cost less than a separate jewelry insurance policy depending on your specific needs. Not every insurance company accurately appraises and values jewelry, though, and thus might not protect your items adequately.
Specialized jewelry insurance companies have qualified and certified gemologists on staff who can appropriately appraise your valuables for insurance purposes. They help make the insuring process simple since the company handles appraisal, valuation, and holds the insurance policy.
The coverage offered by your insurance can vary depending on the company and specific policy. Often, riders added to renters or homeowners insurance policies have quite a few coverage gaps. For example, many policies cover only jewelry theft. If you damage your setting or stone, or simply lose a piece of your jewelry, they might not cover you.
Specialty jewelry insurers usually offer substantial coverage and will provide payment for incidents like lost or damaged jewelry in addition to theft. Be sure to read whatever policy you’re considering carefully to make sure it covers all possible claim scenarios like a lost stone, damaged setting, lost piece, or other situations in which you might want coverage.
The cost of jewelry insurance varies from provider to provider and from jewelry piece to jewelry piece. Generally, the cost is roughly 1-2% of the total cost of the item or items per year. So, if you’re insuring $10,000 worth of jewelry, it will probably cost you somewhere between $100 and $200 per year for jewelry insurance.
You have several options when considering jewelry insurance:
Once you’ve decided how you want to cover your jewelry, you’ll need to get it appraised for its true value. Include the appraisal, receipts, and photos of the jewelry in a safe place for reference if you need to make a claim.
You know you should cover those big pieces like engagement rings and wedding bands, but you should also consider other diamond jewelry, valuable gemstones, or heirloom pieces. Get any pieces you’re considering insuring appraised to see if they’re below your renters or homeowners insurance threshold for coverage. If they are, check the policy to see if it offers enough coverage. If not, consider adding the pieces to a jewelry-specific policy.
Another option is creating a policy that covers all of your jewelry as a unit. This includes valuing all your significant items at once and assigning a policy to all the pieces together. This is a great option if you have quite a few mid-range pieces you’d like to have covered, but don’t want to list each one separately.
We here at Hustedt Jewelers have partnered with Jewelers Mutual Insurance Group to offer you comprehensive jewelry insurance on all your fine jewelry pieces. Jewelers Mutual Insurance Group has been in operation since 1913 and is the only insurance firm with exclusive jewelry coverage.
Hustedt Jewelers and Jewelers Mutual Insurance Group work together to provide you with all the information you need to make an informed decision about protecting your valuable jewelry.
Jewelers Mutual Insurance Group offers:
Insuring your valuable jewelry pieces against loss, damage, and theft is a wise idea. In the event of a loss, knowing you’ll be able to replace valuable and sentimental pieces quickly and affordably will provide peace of mind. Make sure your policy covers common claim scenarios and includes all your fine jewelry. If you need help obtaining insurance, we’d be happy to help you navigate the process.