Diamond Ring
insurance

How to Insure your Diamond Ring

How to Insure your Diamond Ring?

It really doesn’t matter if your diamond ring was a gift or a purchase which you made, the important thing is remembering that diamonds are quite expensive and it is worth your time and effort to protect it with adequate insurance.

You may not understand how to insure your diamond ring so we have provided some information which may help you find the cover you need to guard against loss, damage or theft.

Beware of ‘Tricks of the Trade’

In recent years there has been a good deal of insurance fraud going round and for this reason it pays to understand tricks of the trade. One of the first things you need to learn is how to read the small print on your policy. Beware of any exclusions or special stipulations which would void the cover you thought you had.

A reputable insurance company is your best bet when looking at how to insure your diamond ring, but many people opt for a lesser known name because the cost is lower.

If cost is an issue, take the time to thoroughly read the policy before purchasing it. Most insurance companies will provide you with the policy for you to read, in fact it is the law for them to do so.

How to Insure your Art

Homeowner’s vs. Standalone Diamond Ring Insurance

There are some homeowner’s and contents insurance policies that will cover your jewellery, amongst which would include your diamond ring.

However, those policies do have very specific limits as to how much they will cover for each individual loss as well as annual limits and total cover for each loss. For example, let’s say you have a home insurance policy that covers theft up to £50,000 for a single event.

Thieves break in whilst you are in the shower and take priceless artwork and your diamond ring for a total of £100,000 in valuation. In this case you do not have adequate cover for your artwork or your diamond ring. It would have been far better to have a standalone policy for your diamond ring so that the replacement cost minus the excess would have been covered.


back to top

Having Your Diamond Ring Valued

Whether you have your diamond ring covered on a contents policy or a standalone policy, it will be necessary to have it valued by an approved valuer in the UK.

Contact the Guild of Valuers and Jewellers to find a licensed valuer in your area.

Also, keep in mind that the cost of gems fluctuates with the market so you should periodically have your diamond ring re-valued as it may increase in worth by many thousands of pounds over time. In fact, it is suggested that you have your ring checked by a jeweller twice annually to make sure the setting is intact and that there are no repairs which need to be made to keep the diamond/s intact. Some insurance policies actually insist on this, so again, read the small print.

If you have other pieces of fine jewellery it may be more cost effective to get a comprehensive policy covering all your expensive jewels. Each item will need to be individually valued and listed on the policy, but covering multiple items will in fact save you money in the long term. Whether your diamond ring was gifted to you or you bought it for yourself, it is a valuable item that needs to have adequate cover. Even the Crown Jewels are highly insured and we all know the Royal Family has enough money to replace them many times over. Almost worse than having no insurance is having insufficient cover, so take the time to find the right policy to provide the cover you need to protect your diamond ring.


back to top