Did you get a diamond ring?

Valentine's Day and diamond rings seem to go hand-in-hand!

How exciting for you! It is a long-standing tradition to get engaged on Valentine's Day. The romance of the holiday seems to be the perfect moment to ask someone to marry you.

It is also common to give the new partner-to-be a ring with a diamond or other gemstone. This can be quite an expensive piece of jewelery.

The person who has received the ring now owns it. This is the one to add it to the personal policy if wanted. There is a bit of a drawback to listing it on the insurance, though. Diamond rings are often appraised at a much higher price then what they actually cost. If the ring is lost it will likely cost as much as 50% less to replace then the insured value.

At this time the insurance companies require that you insure to full value if you want to put the wider protection on your jewelery. So if it is possible to get a more realistic appraisal then this is something you should consider. There is some concern that the appraisals are more of a sales gimmick then an actual valuation.

Talk to your agent or broker about your options.