Why Engagement Ring Insurance Is Essential

Once you've chosen the ideal ring for your future fiancée and you're in the midst of planning the perfect proposal, there's one tiny detail you can't forget. An engagement ring is more than just a piece of stunning jewelry—it's a financial and emotional investment. This is likely one of the most significant purchases you'll ever make in your life, so you absolutely have to protect it.

Engagement ring insurance may not seem like an utterly romantic gesture, yet without it, your proposal plans could be scuppered. Should the unthinkable happen and you lose it before you get down on one knee, it would be devastating. After all, it's hard to pop that all-important question with nothing but an empty box in your hands.

Here's everything you need to know about getting the right engagement ring insurance for you:

engagement ringWhat Will You Need to Insure Your Engagement Ring?

Before you do anything, you need to make sure you have all the right materials to insure the ring. First of all, you should have the AGS or GIA certificate. These documents describes the quality and type of stone within the ring. Should you lose the ring, the insurers can use these documents to replace it. You'll also need an appraisal of the piece, i.e., an official valuation of the ring. This is what the insurers will use to set the value of the ring for their records.

Warning: Your Current Policy May Not Cover It

One thing many people tend to assume is that their renter's or homeowner's insurance will cover loss or damage of the engagement ring. In reality, that's very rarely the case. Such policies tend only to cover items valued up to a particular amount, usually between $250 to $1,000. Since engagement rings are typically a more significant investment than that, it just may not cut it.

So, what can you do to make sure you're covered? Well, one option many people find useful is getting an extension on your current insurance—a "ring rider," to use the official term—that will then cover the full valuation of your item. You will have to pay a little extra for this on a monthly or annual basis, but it's worthwhile if you want to protect your ring. If you move to a new home, talk to your policy provider to ensure the rider moves with you.

Individual Engagement Ring Insurance

By far the most popular option, though, is getting an individual engagement ring insurance policy. It's worth spending the time to find a company that specializes in high-end jewelry insurance, as such an insurer will offer you the best deals and policies. A standard policy will cost you around 2 percent to 3 percent of the total cost of the engagement ring per year. So, if the ring you buy is valued at $5,000, an annual coverage policy will be around $100 to $150.

Before you choose an engagement ring insurance policy, make sure you look into the terms and conditions. Understanding your policy ahead of time could make all the difference. For example, you need to know whether you're covered if the ring is stolen or accidentally dropped in your garbage disposal. These scenarios may seem far-fetched, but they're worth considering. What does your policy cover? It's time to play detective and find out.

Remember to Shop Around

The final thing you have to remember when it comes to choosing your policy is that it has to suit your needs and budget. It's essential to shop around when it comes to finding the most ideal one for you.

A purchase as meaningful as this one is well worth protecting, so start searching for your policy now.