Undoubtedly, getting engaged is one of the most exciting times in your life. When a marriage proposal is successful, both parties are wrapped up in the excitement of pledging their commitment to one another—and needless to say, engagement ring insurance is not the first thing on anyone's mind. But once the initial celebration has passed and it's time to get down to planning the wedding, don't forget to take some time between cake tastings and dress fittings to make sure your new, precious piece of jewellery has the necessary insurance protection so the investment can be recovered in the event of theft, loss or damage. It doesn't matter if you’re trying to insure a fully fledged 24 carat diamond ring, or a simple, affordable one that only costs a few hundred dollars, when you call the experienced brokers at Morison Insurance to find the right insurance for your unique needs, you get peace of mind knowing you are financially protected against loss.
Engagement ring insurance (and wedding ring insurance, which you'll also need to consider shortly) is a type of personal insurance explicitly tailored to address your ring's most likely risk exposures, along with the necessary coverage limits for replacement costs. Suppose your ring is stolen, suffers damage, or just mysteriously disappears. In that case, you can rely on the support of your engagement ring insurance provider to supply the funds you need to replace or repair your valuable item.
For something with so much monetary and sentimental value, your engagement ring is physically tiny and probably goes everywhere with you. That means it's exposed to unique risks that don't apply to most of your other treasured possessions. If it's lost or stolen, you can't recover the sentimental value of that particular piece—but at least you and your intended spouse don't have to suffer financial loss as well if you have the proper engagement ring insurance protection in place. And you can ease the sting of the failure by getting insurance compensation from your insurance provider to replace it with an identical or similar piece that reminds you of your soon-to-be spouse's love just as much as the first one did.
When you get engaged, of course! You don't have to drop the champagne flute and ask your fiancé or fiancée to hold that thought while you call your insurance broker. But once the dust has settled and you've had some time to bask in the glow of your impending nuptials, it's a good idea to make sure your beautiful new treasure has the full insurance protection you need and deserve so you can rest easy and keep your mind on more important matters—like finding a wedding venue.
One big question that newly-engaged people often ask is whether they need a separate policy just for engagement ring or wedding ring insurance or if it would be better to add extra coverage to their existing homeowners' insurance or tenants' insurance policies. The answer is that in Ontario those are both viable options, depending on your current, existing insurance coverage.
Suppose you already have a home insurance or renters insurance policy in place. In that case, the easiest and most cost-effective option is likely to schedule your engagement ring as part of your property coverage with a personal article floater or endorsement. The floater is to give you additional coverage for one specified item—in this case, your engagement ring—with a value that exceeds the coverage limits for individual items on your existing homeowners' insurance. That way, you have the total reassurance that your insurance carrier will provide the full amount necessary to replace your ring with one of the same or similar value.
But if you don't already have your property insurance in place, a standalone jewellery insurance policy may be the best choice for your life circumstances. Standalone engagement ring insurance or wedding ring insurance typically works the same way as a personal article floater—if your ring is lost, stolen or damaged, your insurance carrier will supply compensation up to the limits on your policy, which should be for the full replacement cost of the item according to the official appraisal.
This is an excellent question when considering engagement ring insurance because typical renters or homeowners policies provide coverage for your property's "contents," or, in other words, your personal belongings. Naturally, your engagement ring is one of your personal belongings—so it's covered, right? It is, but not entirely. An all-risk, standard home insurance policy likely includes some coverage for your engagement ring. Still, the problem is that the standard policy limit is probably insufficient to meet the item's replacement cost. That means if something did happen to your ring, your insurance company would provide part of the replacement cost up to the limit on your policy, and you would be responsible for paying the rest out of pocket.
The best way to avoid that scenario and ensure you have engagement ring insurance for the total replacement cost of your ring is to schedule your engagement ring insurance on your existing policy with a personal article floater, also called an endorsement. The floater provides additional coverage for the total appraised value of your item, so you can replace it with one of equal value and won't have to strain your budget or take a financial loss in the event that something happens to your ring.
A great way to ensure you have the right amount of coverage is by creating a home inventory list. This list will itemize all the important items, including your engagement ring, so you have documented proof of the items and their value if a loss occurs.
An appraisal is typically required for any high-value item that needs to be insured, and engagement ring insurance is no exception. You, your insurance broker, and your insurance provider need to know an accurate replacement cost to ensure that you'll be able to get the amount you need to purchase a replacement ring of the same or similar value. Your Morison Insurance broker can give you more information on where and how to get the appraisal, but it should be a relatively fast and straightforward process. If a diamond certificate or grading report from a gemological laboratory was included with the original appraisal when the ring was purchased, could you bring those along to the insurance appraisal so the appraiser can review the documents and confirm their accuracy.
Typically, insurance premium costs vary entirely a bit depending on many factors. Still, your engagement ring policy cost is going to rely mainly on one significant factor—the appraised value of the ring in question. Insuring a diamond ring will be a lot more expensive than insuring a more standard one. While we can't give you exact numbers until we know more information, this chart gives you a basic idea of the cost range you can expect for your engagement ring insurance in Ontario based on the appraised value of your ring:
|APPRAISED VALUE||AVERAGE PREMIUM (per year)|
|$60,000||$900 - $1,200|
|$45,000||$675 - $900|
|$30,000||$450 - $600|
|$18,000||$270 - $360|
|$10,000||$150 - $200|
|$6,000||$90 - $120|
Remember that appraised value isn't the only metric that matters when getting an engagement ring insurance quote. Other considerations that can influence the cost of engagement or wedding ring insurance include:
To find out more about what your premiums for engagement ring insurance will be like, call the reliable brokers at Morison Insurance and give them the information they need to find the right engagement ring insurance quote.
Regarding insured perils, what is covered by your engagement ring insurance or wedding ring insurance in Ontario depends on your coverage and what's listed on your policy. In all likelihood, your engagement ring insurance and the property insurance policy attached are "all-risk" or comprehensive coverage. That means all potential perils are covered unless they are explicitly excluded from your policy. That's counter to a "named perils" or broad form policy, which only provides coverage for the specific risks listed on your policy—the named perils, in other words—and excludes everything else. It's possible to get full engagement ring insurance coverage on either type of policy. Still, it's essential to know which one you have and talk to your broker about ensuring you have all the engagement ring insurance you need on your policy.
It's pretty safe to say that, yes, if you have a comprehensive policy, your engagement ring insurance will include coverage for theft, as that's one of the most basic insured perils and a must-have for an item like a valuable ring. However, suppose you have a named perils policy. In that case, only the perils listed on your policy are included in the coverage, so it's best to check with your insurance broker at Morison Insurance. That way, you have peace of mind knowing you have the coverage you need.
If you've worn jewellery throughout your life, you've probably encountered a situation where a clasp broke, and your necklace or bracelet fell off, or maybe you lost a few pounds and didn't realize how loose your rings had become until one of them fell off your finger. Jewellery is small, so needless to say, there are plenty of opportunities to lose pieces when you're wearing them and when you're not—and most of the time, you don't have any way of knowing precisely what happened to it, or it wouldn't be lost.
In insurance terms, that type of loss is a mysterious disappearance. Maybe it fell off your finger; perhaps it was stolen; maybe you misplaced it; maybe the dog ate it—regardless, it's nowhere to be found and needs to be replaced. You might assume if you have a comprehensive, all-risk insurance policy, you may think that mysterious disappearances are covered since they're not explicitly excluded from your policy, and that may be the case. But many insurance providers implicitly exclude mysterious disappearances under the assumption that they occur due to error on the policyholder's part.
Whether or not you already have coverage for mysterious disappearances depends on your engagement ring insurance company, so it's best to speak with a licensed Morison Insurance broker to find out more about your particular coverage. If it needs to be more adequate for your needs, we'll work tirelessly to track down an option better suited to your lifestyle.
Again, that depends on the type of policy you have and some other factors we mentioned above. However, generally speaking, you can expect all Ontario engagement ring insurance policies to exclude uninsurable perils such as war, invasion, terrorism, nuclear threats, etc. It will also exclude any items that are not legally acquired.
If you're ready to get the right engagement ring insurance for your new treasured possession, call the experienced insurance brokers at Morison Insurance at 1-800-463-8074. We work for you, not for the insurance companies, so you can trust us to keep your best interests in mind for your engagement or wedding ring insurance and all the other types of coverage you need for your financial protection.
This content is written by our Morison Insurance team. It is provided for general information only. Insurance needs differ from person to person, and this article is therefore not a substitute for professional advice about your individual insurance needs which can be obtained by speaking with a Morison broker.