You’re the responsible type. You plan for the future, and you understand it’s “better safe than sorry” when it comes to the life you’ve built and the special things you’ve chosen to surround yourself with. Maybe you’ve got renter’s insurance to protect your nest, but are you protecting the one thing you most likely think of as priceless?
Your engagement and wedding rings represent an investment made, not only in the rings themselves, but in your relationship and your future. The sentimental value is immeasurable. In all the excitement of your engagement and the chaos of wedding planning, many couples overlook protecting these most treasured possessions. About 40% of US households that own engagement rings do not have them insured, yet a third of couples consider an engagement ring to be one of their most valuable assets. Other pieces, such as family heirlooms or high end watches should be considered for coverage as well.
If you’re renting your home, there are a plethora of reasons you should be sure you’ve properly covered your ring, but today we’re going to give you seven of the most important ones to think about. Remember, every policy and insurer is different, so do your homework! Read the fine print and be realistic about your needs to get the coverage that makes the most sense for you.
So why do you need to get jewelry insurance as a renter?
- Most basic renter’s insurance has very low limits on the amount of coverage you may receive for any one item (like an engagement ring), so having renter’s insurance often doesn’t mean you’re fully covered. If you have a limit as low as $1,000 (as many renter’s policies do). Is that enough? If you’re like most people, probably not. Most engagement and wedding rings would cost much more to replace.
- Beyond the value of coverage, many renter’s policies still have limitations of one form or fashion even when they’ve been endorsed with what’s often called a “rider” or “scheduled coverage”. For example, basic renter’s insurance often does not cover loss or “mysterious disappearance” (i.e. unexplained loss). Jewelry insurance through Lavalier does; “riders” often do, but not 100% of the time.
- Here’s one that doesn’t always jump to mind: what about natural disasters? In the past few years, weather has wreaked havoc across the country, from Superstorm Sandy to tornadoes in Oklahoma and Texas to the Polar Vortex. All of these events resulted in many insurance claims, but not all of those claims were covered. An “all risk” policy covers everything, unless it’s explicitly excluded. A “named peril” policy only covers things that are specifically named. For example, earthquakes and floods would generally be excluded from a renter’s policy, but would be included if you insured your ring through Lavalier. If you have or are considering renter’s insurance, be sure to review your existing policy and look for this type of exclusionary language.
- If you’re recently engaged but are not living together (yet!), or if you are purchasing jewelry as a gift for someone who does not live with you, a renter’s policy might not provide the coverage you need. Some policies only offer coverage for jewelry kept at the address of the person who bought the policy.
- Many renter’s policies have a fixed deductible that is the same for a jewelry item as for anything else. So if you want a higher or lower deductible on your jewelry than on your TV (plus all of your other insured possessions), you may not have that option.
- Another important thing to consider is what happens if you ever need to use your insurance policy; that is, if your jewelry is ever lost, stolen, or damaged. Many renter’s insurance providers force you to work with their jeweler network rather than your own trusted jeweler. When you purchase through Lavalier you can work with your own jeweler, or if you prefer we can help you find a jeweler (if, for example, you’ve moved away from your jeweler).
- A related issue: a claim on your renter’s policy could cause the premium on the whole policy to go up: even if the only claim you’re making is on a specific jewelry item. A separate policy means that a claim on your jewelry won’t necessarily impact your other policies.
Do your research and thoroughly check the policies you already have to make sure you don’t end up unexpectedly lacking the coverage you need to repair or replace your ring. You can get a no obligation, totally free quote from us in under a minute by trying our Quick Quote. We help you protect what’s priceless.
[image via theknot.com]