There it is – Beyoncé’s message has been heard, and now a sparkling engagement ring is sitting proudly on your left hand.
Your engagement ring is more than just glitzy, expensive jewellery. It symbolizes your commitment to each other.
What would happen if your beloved new rock was stolen from your dresser, damaged when dropped from the kitchen bench, or lost at the beach?
A loss such as this would be heartbreaking, but engagement Ring insurance Australia would soften the blow financially.
What options do you have for ensuring your new shiny possession?
Is my engagement ring insured?
In most cases, an engagement ring can be insured in two ways:
- You can buy contents insurance, or a combined policy that covers both your house and contents
- Jewelry insurance is available through specialized companies
Option One – Contents Insurance
When it comes to contents insurance or combined home and contents insurance, most policies will provide coverage for your engagement ring if it is lost, accidentally damaged, or stolen while in your home.
Your insurer will typically limit the amount you can claim for your ring, and this amount may not always cover the cost of replacement, depending on your policy. You may only be covered for up to $1,000 if, for instance, you lose your $8,000 diamond engagement ring.
You may be able to apply for additional coverage if the amount of coverage is insufficient for the value of your ring. This can be done by naming or describing the ring in your policy. Your insurer will work with you to determine the exact amount you want your ring covered for, usually in exchange for a higher premium. In order to do so, your insurer may require a valuation certificate and proof of purchase for your ring.
Are you looking for insurance for your engagement ring? In the table below is a snapshot of contents insurance products with links to each provider’s website, sorted by Star Rating (highest to lowest), then by provider name (alphabetically). There is also information on the maximum total limits for jewellery under each policy shown. Results are based on contents only policies taken out by a person under 50 years old in New South Wales and the Australian Capital Territory for items under $75,000 in value. Consult your insurer to see if your engagement ring can be specified under your contents policy, and read the Product Disclosure Statement of each policy before making a decision.
If I wear my ring away from home, can I get it covered?
When you are wearing your engagement ring outside your home, most standard contents or combined home and contents policies will not cover it.
If you want cover for this, you should find out if your provider offers personal effects insurance, also known as portable contents insurance. Depending on your policy, this type of insurance may cover accidental loss or damage to your engagement ring when you are away from home, anywhere in Australia or New Zealand.
You may be able to add portable contents insurance to an existing home and contents policy if your provider offers it. If you choose to claim your engagement ring, however, there may be a limit on how much you can get. You should consider whether you can specify your ring to cover its full value if you need additional portable contents coverage.