pros and cons of insuring your engagement ring under homeowner’s insurance?
Saturday, April 25th, 2009 at
6:21 pm
M asked:
If I get my engagment ring from a pawn shop, have it appraised, is it ok to get it insured under our renter’s or homeowner’s insurance company?
If I get my engagment ring from a pawn shop, have it appraised, is it ok to get it insured under our renter’s or homeowner’s insurance company?
What if you don’t rent or own a home right now? Can you buy the ring now and then when you buy a home/rent an apartment, can you get it insured later??? how does this work?
Tagged with: Engagment Ring • Homeowner Insurance • Pros And Cons
Filed under: Homeowners Insurance
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Jewelry is covered under a standard homeowners policy. The limit for jewelry is about $2,500 for theft.
If your ring is worth substantially more than that, you will want a separate policy that insures your ring explicitly.
You can buy a policy just for your ring. I have one and it doesn’t cost much.
I would highly recommend insuring it, but I would recommend doing so on a Personal Articles Policy or Personal Inland Marine Policy (same thing, just different names). Some companies allow you to do this as an endorsement on your homeowner’s or renters insurance policy, others make you buy a separate (but usually very cheap) policy.
The benefits of the Personal Articles Policy are that you don’t necessarily need to qualify for a homeowner’s or renter’s policy to buy it (for example, if you live with your parents). The policy will also cover all perils as opposed to other policy types which only cover listed perils (for example, a Personal Articles Policy will cover jewelry if it’s lost, whereas the other types won’t). Also, you can purchase a Personal Articles Policy with no deductible and the lowest you’ll usually find on homeowner’s or renter’s is $500). Call a local agent and look into it.
To answer your other questions, you can insure it at any time as long as it’s still in like-new condition.