Why Is Getting Your Diamond Jewellery Insured So Important?
Aside from your home, car, and appliances/furniture, diamond jewellery and other kinds of jewellery are the next most significant investment. Given that your jewellery items are valuable, it is important to insure them. However, working or getting insurance for your jewellery could be tricky. So, find out about getting your diamond jewellery insured by reading on!
This article introduces the types of insurance coverage available and tells you why the cheapest option should be avoided. We suggest how to insure your jewellery and tell you how we at All Diamond can help you protect your diamonds before they reach you and when you buy an insurance policy.
When applying for insurance for your diamond jewellery, ensure that you have the grading certificate and other certificates handed to you when you bought the diamond. Having the documentation at hand will ensure that the diamond you will be insuring will not be under question by the insurance company. To avoid this situation, it is essential to thoroughly study and research the insurance company’s policy regarding high-value items such as diamonds.
Just Because It Is Hard Doesn’t Mean It Can’t Be Damaged!
Diamonds are the hardest of gems, but that does not mean they are indestructible. Even if you keep your diamond jewellery in a safe place at home, theft and robbery could still happen. Diamonds would also get lost when the prong or the mount supporting the diamond would come loose. Accidents could occur, and jewellery and gemstones could be broken, requiring costly repairs or replacement. Insurance policies should cover theft, accidental loss and damage. Keep the mentioned situations in mind when choosing an insurance policy.
Tension Set Diamond Bangle 0.33ct G/SI Diamond in 9k Yellow Gold
£937.00
£1,567.00
This elegant and stylish piece is created from fine 9k yellow gold that is smooth and polished to the touch. Three sparkling, ethically sourced G/SI quality diamonds are placed in a tension setting on the 9k yellow gold band's centre.… read more
Diamond Jewellery insurance policies could be categorized into three:
• Actual cash value. This type of insurance is often called ‘New for Old’ in the United Kingdom. In this type of policy, the insurer replaces diamonds regardless of their initial cost. The insurance policy would depend on the current value of the diamond jewellery and not on how much it cost the owner to buy. This is the preferable type of insurance for diamond jewellery; however, it could also be the most costly. Most jewellers recommend this type of insurance policy for those who own fine diamond jewellery, heirloom jewellery or those with large diamonds.
Actual Cash Value or New for Old coverage is often found in household contents insurance policies. It can be an excellent deal when adding a few items of diamond jewellery. You will probably need to provide evidence of the cost or value of the item and may need to have an expert appraise the current value of the jewellery every few years.
Vintage 2.60ct Blue Sapphire & 0.90ct Diamond Drop Necklace White Gold
£2,387.00
£4,447.00
Vintage jewellery is the perfect way to add that special touch to your outfit. This stunning necklace has been handcrafted in solid 18ct White Gold and set with 2.60ct of Blue Sapphire. The beautiful colour of the Blue Sapphire is… read more
• Indemnity Insurance. When a piece of insured diamond jewellery gets lost or stolen, indemnity value insurance policies will replace the lost jewellery at a lower value than the price at which the lost diamond was purchased.
This type of insurance is much cheaper than a New for Old policy but has obvious drawbacks. The insured item is assumed to have lost value over time, so when you make a claim, you will usually receive less than the cost of a new replacement. This policy limitation means you will often have to choose a smaller diamond or lower quality. The problem comes when adding jewellery to your existing household contents insurance. So, check your policy type before adding your diamond jewellery to your household policy!
As an aside, you are unlikely to find this low-quality type of insurance when buying specialist jewellery insurance.
• Agreed value. This is the rarest insurance policy, but some would say that this is the best policy that could cover your diamond jewellery. The owner and the insurance company would undergo negotiations and agree on the value of the diamond jewellery. When something happens to the diamond jewellery, the insurance company will provide the agreed amount of compensation.
Because this type of policy is individually negotiated between the policyholder and the insurer, it is the most costly. It is suitable for the most expensive jewellery and the most extensive collections. Most people reading this will never need an agreed value policy!
Check The Details Of The Insurance Policy!
Insurance policy rates may be different based on location and other factors. When getting your diamond jewellery insured, shopping around and checking different insurance company policies is best. Some insurance company policies would have loopholes in them which could eventually go against you. Always make sure that you check through the fine print – even if you need a magnifying glass. The fine print is often where the most critical policy terms are hidden!
Whatever type of insurance you take out to cover your jewellery against loss or damage, do not even think about providing a low value for the jewellery to lower the insurance cost. If you do so, you run the risk of either the insurer disallowing any claim or, at best, the insurance company only paying out for the loss in proportion to the value you initially provided when taking out the cover!
1.25ct Baguette & Round Cut Claw Set Diamond Cross in 18k Rose Gold
£1,897.00
£3,127.00
A unique diamond set cross pendant. With a centre round brilliant cut diamonds, surrounded by channel set baguette diamonds framed by round brilliant micro-set diamonds with a stunning claw setting. This gorgeous diamond jewellery weighs a total of 1.25ct of… read more
Buying Diamond Jewellery From All Diamond
At All Diamond, we know, all too well, about the need for a good insurance policy to protect fine diamond jewellery. We strongly recommend that you ensure that you have adequate insurance coverage for your new jewellery from the moment your new diamond jewellery is delivered to your home!
Every item of jewellery we sell is covered by insurance through the delivery process until you sign for receipt. From that moment on, you need to have insurance coverage.
In addition to delivery insurance, we also provide a signed and individual insurance valuation document that you can use with your insurance provider as evidence of the value of the items you are covering under your insurance policy.
Browse All Diamond’s Jewellery Collections
All our fine diamond jewellery is designed and handcrafted in the United Kingdom. Every item of precious metal carries the appropriate UK hallmark, denoting the quality and purity of the metal used by our artisans.
Every piece of jewellery carries a lifetime workmanship guarantee and is sold with a 30-day exchange and return option to ensure you get the right piece of jewellery!
Please browse our diamond jewellery collections and be inspired!
