After three years, and graduating college together, everyone knew it was coming. But no one knew when. Victoria thought they were going to see a Phillies vs. Nationals game. She should let him choose dates once in a while, after all.
You can imagine her surprise when instead of David’s Prius, he escorted her into a chauffeured limousine. The next stop was Bistro Romano, one of the most romantic restaurants in Philadelphia. She started to figure out what was going on, but didn’t want to get her hopes up. To this day, David won’t tell exactly what he said, except that it was romantic and made her cry.
The stone was a bit larger than Victoria expected, which no one has ever complained about. The setting was a bit higher than she had expected, which was visually stunning but made her nervous. Even though Victoria worked in an office, she worried about things like bumping her hand on a desk drawer and damaging the prongs.
Victoria worked up the nerve to tell David that she adored the ring, but was scared to death of damaging it or having it stolen in the course of day to day life. That’s when David uttered the magic words that will put anyone at ease: “Don’t worry too much. That’s what insurance is for. Just enjoy the ring.”
As soon as he purchased the ring, David had called his Philadelphia Renters Insurance and asked about coverage for it. A few quick and easy questions later, he had coverage to make sure that any direct physical loss to the ring would be covered. David knew that Victoria would worry too much – her concern was endearing, but this was something he wanted her not to have to concern herself with at all. One phone call was all it took to make sure that wasn’t an issue.
Learning To Insure Your Engagement Ring
Often, people are young when they get engaged and haven’t given much thought to the best way to protect such a large investment. If you give too much thought to the matter, it can lead to paralysis and inaction. That’s why you can add your engagement ring to your renters insurance policy.
Insuring a diamond ring is new to you, but it doesn’t have to be scary or confusing. Here are some quick tips to protect the most important thing you own so you can go about your life without concern, just like Victoria.
How Will You Cover Your Ring?
There are two main ways that your diamond can be insured. The first is with an endorsement on your renters insurance policy. This will provide protection up to a set dollar amount as part of the policy. The endorsement for valuable items may not add to the total aggregate personal property limit, however, so you’ll want to be sure you have enough coverage.
The somewhat more common way to protect against loss for your diamond is to get what’s called a floater or inland marine policy. This is a separate policy in addition to your renters insurance, and it’s designed to cover one or more items which have been appraised and have an agreed value.
What Does It Cost To Insure Your Engagement Ring?
A separate policy doesn’t mean more expensive – the endorsement and the floater policy usually will cost about the same. The difference is that the floater can cover whatever amount the ring is appraised for and the endorsement has an upper limit. Victoria’s ring was more expensive than the endorsement would allow, so David opted for the floater policy.
When David called his apartment insurance, the agent told him that the average cost to insure jewelry in Philadelphia on that type of policy was about fifteen dollars per thousand dollars of coverage, per year. David thought about that for a moment, and wasn’t sure he had heard correctly.
Just to make sure I heard you correctly, Tony… I think that you just told me that insuring Victoria’s seven thousand dollar ring will cost me around a hundred dollars a year? That’s it?
Tony assured David that, while the cost varied slightly by the total value of the ring, he was on the mark. Engagement ring insurance is cheap, and there’s even a discount when you add it to an existing policy like your renters insurance.
David emailed a copy of the appraisal while they were on the phone, and Tony confirmed the cost. David made a surprisingly small payment, and in the span of a five-minute phone call he had insured Victoria’s engagement ring.
What’s Covered By Engagement Ring Insurance?
David didn’t have much experience in reading insurance policies, so before he got off the phone, he asked what specific things were covered. Loss and theft of the engagement ring would be covered, of course, but what else? Tony’s response was the easy, casual laugh of someone who knows their insurance policies inside and out, followed by…
David, this is one insurance policy you’ll be able to read easily. The policy itself is maybe three pages at most, plus the schedule that describes the ring you’re covering. But in a nutshell, it says that any direct physical loss or damage to Victoria’s ring is covered and then sets out a very limited number of exceptions. Those exceptions cover things like nuclear war. In other words, the exceptions are stuff that if they happen, you’ve got bigger problems than the ring. This is open perils coverage, so you can rest easily.
David let that sink in for a moment, and realized that not only was this easier and less expensive than he had thought, but it was also broader coverage than he had expected. “Anything that’s not named as an exclusion is covered? That will definitely help me to sleep better,” he thought.
How Do I Insure An Engagement Ring, In A Nutshell?
- Add the endorsement or a floater policy to your Philadelphia Renters Insurance
- Have an appraisal. This makes it easy for you and the insurance company to agree on the value.
- Coverage is generally “open perils.”
- You should read the policy, but relax – they’re very short and easy to read
- Most engagement ring insurance in Pennsylvania should cost between $15 and $20 per thousand dollars of coverage, per year. In other words, a ten thousand dollar engagement ring could be insured for around $200 per year.
- She’ll be impressed that you had the foresight to insure the ring. That’s never a bad thing!
- While there are often discounts for multiple policies, you don’t necessarily need to have a renters or homeowners insurance policy already. A floater policy can often stand on its own.
To find out how to insure your engagement ring and protect your investment (and impress your fiancée!), just call Effective Coverage at (800)892-4308. It takes just minutes, it’s a very small investment, and it’s easy. We offer a full suite of coverage for your changing needs. If you’d like to explore what coverage is worth considering now that you’re engaged, we’re happy to discuss options and even complete a full review at your option.
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