You said YES, took an adorable selfie and announced your upcoming nuptials to the world, but there’s one more thing you MUST do immediately…
When things go awry, mostly they’re fixable. Whether it’s a wedding dress that’s too small (yes, me) or wedding cake smashed en route to venue (also me), there’s few things that can’t be solved. However, if your engagement ring is damaged, lost, or even stolen, and you haven’t notified your insurer of your rock – or you don’t have insurance at all (seriously?) there is very little you, I, or anyone else can do.
Before you hurry to the phone – or if you’ve already done so – ensure you’ve properly insured your engagement ring by having a quick read through the below. It could save you a lifetime of regret.
Insure your Engagement Ring
Of course, it will always be devastating to lose jewellery that represents something so special, but it would be so much worse if you were unable to cover the cost to replace it. In most cases, adding your ring to your contents insurance costs less than 1% of its value, and it’s worth it for the peace of mind alone.
As you may know, in a past life I was a lawyer and worked on some insurance litigation cases. Oh, and I lived in Christchurch until a couple of years after the earthquakes. Having adequate insurance is something I feel very strongly about. So strongly, in fact that I have literally written it in the book (the little white book) all of 5 times, to remind you (first steps checklist, budget pages, a note on travel insurance, a reminder, and yet another note on your honeymoon planning pages)
Young People are not Taking Care of their Stuff!
Here’s some staggeringly disappointing and downright dangerous facts about insurance:
- 27% of 18-29 year olds don’t have insurance at all, and 70% of all people in flatting situations don’t have contents insurance.
- 30% of 18-29 year olds agreed that they didn’t really understand their insurance policies
- 31% of respondents found their insurance policies too complicated and confusing.
How to ensure you get Adequate Insurance
The most important thing you can do to protect your engagement ring, or other jewellery or special items is to have home and contents insurance (which also protects your belongings outside of the home too) and advise your insurer of your new acquisition as soon as possible. Second to that:
- Have the jewellery appraised by a certified jeweller, so that you have the right amount of cover;
- Take photos of your engagement ring from all angles for proof of its style/design;
- Hold onto your store receipt, or email yourself a picture of it;
- Ensure your ring fits snugly, so you can’t lose it;
- If you take your ring off, keep it in a secure place – this is a requirement of insurance;
- Be especially careful when travelling (and have travel insurance);
- Have your jewellery cleaned regularly, as the jeweller is likely to notice any loose stones or damage.
Mistakes to Avoid!
Whatever you do, don’t make these engagement ring insurance mistakes!
Waiting too long to insure your engagement ring
Preferably, you should have the ring insured before your partner (or you) walk out the store with the rock in tow, and it should go without saying that if you’re picking it up duty free to save GST, you’ll need travel insurance for while you’re away too.
Assuming your engagement ring is automatically insured
If you have contents insurance (please, please do), insuring your engagement ring is as easy as notifying your insurer. Many people will assume that their insurance ring is automatically fully insured with your house and contents, but most insurance policies exclude jewellery over a couple of thousand dollars unless specified. Read the policy. One in five people, and a whopping 44 per cent of Aucklanders, have been unable to claim for high value items because they did not specify them on the policy.
Thinking your engagement ring is insured in every situation
No matter the insurance company, there are conditions, of course. Off the top of my head, if you’re irresponsible, such as leaving your engagement ring in the car or lending it to a friend, you probably won’t be insured. Take reasonable care.
Going on your honeymoon without checking the terms of your travel insurance
Like regular contents insurance, you’ll have to notify your insurer if your ring is worth more than the standard insured value under the policy when you go on your honeymoon. Once again, read the policy, and be aware you may have to specify its value under your travel policy too.
Exaggerating the value of your engagement ring
You’ll pay the policy based on the value you insure, but insurance can only compensate your for your loss, so you’ll be paid on the basis of the cost of replacement. Over insurance or exaggeration will only cost you money. Get an official appraisal and tell the truth.
When you notify your insurer of your engagement ring, you’ll have to confirm the sum insured. Don’t skimp on cover, because not only will you lose out in a circumstance of total loss, but if you under-insure, your insurer can under-pay you.
Paying too much for insurance
It’s worth shopping around and doing some research, you may even consider using an insurance broker. You may save money on all policies if you use the same company.
Nothing can replace the sentimental value of your ring, but if something happens to it, at least you can get your (or his) money back!