Whether you're sporting a new engagement ring, wearing a luxury watch, or recently inherited an heirloom ruby bracelet, there's one thing you should know: your homeowner's or renter's insurance probably won't adequately cover your new jewelry.
Homeowners and renters insurance may provide some protection, but generally it is a relatively small amount. Standard property insurance policies often have per-item, per-collection caps, and you may still have to pay a high deductible if you don't have your jewelry insured.
Luckily, you can purchase additional insurance coverage to help repair or replace your valuables if something unexpected happens. Here's what you should know Jewelry insurancehow it works, what it costs and whether it is worth it for you and your valuable items.
What is jewelry insurance?
Jewelry insurance can reimburse you for the cost of repairing or replacing covered pieces if they are lost, damaged, or stolen. It comes in two forms: as an add-on to your existing property insurance or as a standalone policy.
If you want to add an endorsement to your property insurance policy, you will typically need to contact your insurance company, have your jewelry appraised, and increase your insurance coverage accordingly. The only downside to this route is that if your covered jewelry is lost and you file a claim against your homeowner's or renter's insurance, your premiums could increase.
You can also purchase specialist jewelry insurance through an insurer such as BriteCo or Lavalier. Different jewelry insurers have slightly different rates and exclusions. Therefore, comparing options is essential when considering a standalone policy.
How does jewelry insurance work?
Typically, whether you choose to add a passenger to your property insurance or purchase specialty insurance, you will need to have your jewelry appraised before you can obtain insurance coverage. Some insurers offer in-house appraiser services, but you may need to find an appraiser independently using a resource like the American Gem Society or the National Association of Jewelry Appraisers.
An appraisal will ensure you understand the value of your jewelry and receive appropriate coverage. Once you get coverage, you may need to reappraise every few years because the value of your jewelry can fluctuate over time. However, some specialist insurers offer automatic valuation as an alternative to revaluation. With automatic appraisal, the insurance company automatically updates the estimated value of your piece over time.
If your insured item is lost, stolen or damaged for a reason not excluded in your policy, you can submit a claim to your insurer for reimbursement. The claims process can vary depending on the insurer, but you can often file your claim online or over the phone. Your insurer will then review your claim to determine whether it is valid and, if approved, will reimburse you for the cost of repair or replacement.
What does jewelry insurance cover?
Jewelry insurance typically covers damage or loss no matter where you are in the world, even if you choose to add it to your home insurance. So if your engagement ring is stolen or lost during an international honeymoon, your insurance will likely cover that loss. The same probably applies if it is damaged in some way.
Your insurance may also cover lost gemstones, but it is important to check before choosing supplemental or individual insurance. Ask your agent or find out about possible exclusions.
Joe McAlpinean agent at American Family Insurance, shares: “Say you're snorkeling in Cancun and your diamond falls out of your engagement ring, but you don't lose the actual ring. Your insurance will probably still cover the lost stone, even if you still have the ring itself.”
How much does jewelry insurance cost?
The costs for jewelry insurance also vary depending on the insurer. However, a general rule of thumb is that it is approximately 1-2% of the appraised value of an insured piece. Here's a quick look at the potential cost of insuring a $7,500 women's engagement ring with specialty insurance in Boston, Massachusetts:
| insurer | annual costs |
| BriteCo | $114 |
| GemShield | $78-$94 depending on deductible amount |
| Mutual jeweler | $84-$114 depending on the deductible amount |
| Lavalier | $88-$113 depending on the deductible amount |
Adding a rider to cover your jewelry to an existing property insurance policy will likely increase your premiums slightly. However, it is difficult to provide accurate cost data because property insurance costs vary widely depending on the location of your home and other factors.
Is jewelry insurance worth it?
If you own a valuable piece of jewelry or a valuable jewelry collection, appropriate insurance may be worthwhile. Your standard homeowner or renter insurance policy is likely inadequate. With independent jewelry insurance, the costs are usually low in relation to the value of the insured items. The protection this provides can help ensure you have the financial ability to repair or replace your jewelry if it is damaged, stolen or lost for a covered reason.
Frequently asked questions about jewelry insurance
Where can you get your jewelry appraised for insurance?
Some specialist jewelry insurers offer in-house appraisal services, so you may be able to have your jewelry appraised through your insurance company. But that's not always an option. If you need to have your pieces appraised yourself, you can find an appraiser in your area by searching a reputable website such as the American Gem Society or the National Association of Jewelry Appraisers.
Should I insure my engagement ring?
“Jewelry insurance probably makes sense if your engagement ring is worth over $1,000,” says McAlpline. “A simple gold ring can be worth more than normal property insurance covers. That's why it's important to make sure you're financially protected if you lose or damage your ring.” The bottom line is that insuring your engagement ring or wedding set is generally a smart decision.
How high is the deductible for jewelry insurance?
Your deductible varies depending on the insurer. Some jewelry insurers, such as Jeweler's Mutual, offer flexible deductibles ranging from $0 to $5,000 for an engagement ring with an appraised value of $7,500; others, like BriteCo, charge no deductible at all. Comparing the options can help you find the deductible that makes the most sense for your situation.
Taking that away
Jewelry insurance provides valuable protection whether you have a new engagement ring or have recently inherited a high-value necklace or bracelet. You can choose to add an add-on to your existing property insurance or a standalone policy to receive this coverage. Although this insurance costs money, it is usually not expensive. For this reason, it is often worth purchasing. Comparing insurance coverage and getting quotes from different insurers can help you find the best policy for your needs.