Down the drain!
Did you read about the bride in NYC that dropped her engagement ring?
This past Monday the New York Times ran a story about a couple who lost an engagement ring. The ring was a little too big and slipped off the bride’s finger on a Friday night into the abyss of a Times Square sidewalk grate just a few hours after grooms proposal. Think, Engagement Ring Insurance.
Paying several thousand dollars for an engagement ring only to lose it or have it stolen would not be a good thing. And finding out that your homeowners policy doesn’t cover that loss would be another blow.”
A basic homeowners policy would NOT have covered this ring. The basic HO-3 policy limits certain types of losses to jewelry to $1,000 – $1,500. The perils insured against are also limited. Your jewelry is insured against Fire, Theft (must prove “break-in”), vandalism, smoke damage, etc. Misplacing or losing jewelry is not covered by the basic HO-3.
Schedule your jewelry on a jewelry floater
To properly insure your jewelry, you should “schedule” your items on a jewelry floater. This can be written as a stand-alone policy or as an endorsement to your homeowners policy. Floaters cover losses of any type, including those that your homeowners policy will not cover, such as accidental losses – say, dropping your ring down the kitchen sink or a sewer grate in NYC. Mysterious Disappearance is also included. If you have no idea where your ring is, or the stone mysteriously (fell out of the setting), it is covered.
The Ever After Guide blog has an article about this issue. They explain that the most common reason diamonds end up getting knocked out of their settings is because the ring has been bumped or hit off of something. Sometimes even the slightest bump can cause this since not all settings are as sturdy as others. The article also explains other ways to protect your diamond.
No Deductible with a Jewelry Floater
Another benefit to scheduling jewelry is there is no deductible!
The premium to add a jewelry floater is based on the value of the items you are adding. The cost is around $16 per thousand of value.
You would need a recent bill of sale or an appraisal to add your items to the floater. Ask us for a recommendation for a reputable appraisal firm.
There are many other items that you can add to a floater, such as Cameras, Fine Arts, Furs, Golf Equipment, Firearms, Musical Equipment, Silver, Gold, and Stamps. Please note that these items are also limited on the basic homeowners policy.