Written by, Marija Petkova
Updated December, 6, 2022
First and foremost, congratulations are in order! Secondly, what are your plans for getting insurance for those precious stones blinking on your hand?
Understandably, you need help figuring out what to do! That’s why we are here to teach you about engagement ring insurance in the UK, from coverage and costs to claiming and tips to keep your ring safe.
As many say, diamonds are forever, only if they are covered. But the reality is that insuring an engagement ring can differ between providers as each insurance policy has its own terms and conditions.
As a consequence, when you are searching for the perfect insurance for your precious stone, you will come across policies with various types of coverage, and the most common are:
On the contrary, the insurance for an engagement ring in the UK doesn’t include the usual wear and tear or cosmetic damages like scratches.
Did you know there is tax relief for married couples in the UK?
One of the perks of getting home insurance from the best in the UK is having your engagement ring covered. You can find out your policy’s coverage by reading the Single Article Limit section in your contract.
Most policies will insure your engagement ring in the UK only while you are at home. However, you can include personal possession in your home insurance and have the ring covered outside your home.
But how can you know that your engagement or wedding ring is adequately insured?
The value of your ring should be less than the single-item limit stated in your policy in order to be fully covered. As a guidance, the single-item limit, or the maximum amount you can claim in the UK, typically ranges between £1,500 and £2,000.
Since the engagement rings are usually more expensive than the threshold, we recommend you ask your insurer to list the ring individually so you can have full coverage.
You might be interested: How is home insurance premium calculated?
Considering the single-item value limit on home contents insurance, it might be better to get specialist engagement rings insurance if they have a high value. While adding your engagement ring to your home contents insurance may be cheaper, specialist insurance typically offers more extensive coverage.
And the last thing to keep in mind when choosing the type of your insurance is the no-claims discount. For example, if you need to make a claim for your engagement ring with your home contents insurance, you will lose the discount for the other contents you insure.
So how much will it cost to insure the most sentimental jewellery you proudly wear? Unfortunately, there is no straightforward answer. The insurance cost will depend on the ring’s value, your desired coverage, excess and the insurer.
For instance, the average diamond ring insurance with a value of £4,000 is £7 per month or £76 annually. Whereas the premiums for a white gold ring with a 0.01-carat diamond, appraised at £10,000, start at £15 per month or £175 a year.
Here are some tips for cutting down the engagement ring insurance UK cost:
When you lose or have your engagement ring stolen, the most important thing is to take action immediately. In an unforeseen event like this, you must file a report to the police within 24 hours. You will get a crime reference number you will later need when making your claim.
Next, you should prepare the documents the insurer will likely ask for, like a certificate of insurance and proof of ownership, purchase receipt, and jewellery valuation report.
And finally, contact the insurer, inform them about your situation and wait for further instructions.
Usually, insurance policies have two types of excess when you are making a claim.
The engagement rings insurance provider will deduct the sum of both excesses from your claim payout. Additionally, with some insurance providers, you will lose your no-claims bonus when you claim your wedding or engagement ring.
While having insurance for your wedding ring will cover your financial loss, sometimes, no amount can help you heal emotionally. That’s why you need to protect everything that has sentimental value to you.
For starters, you should build a habit of wearing your ring when the risk of losing it is low. For instance, take it off when doing chores, exercising, or in the shower. In addition, we recommend having multiple ring dishes around your house to store your ring correctly.
Having your ring resized to your perfect fit is equally important. This way, you can avoid slipping and losing your ring or damaging it if you pull it excessively.
Next, you must take care of your ring and have it professionally cleaned to prolong its lifetime and protect it from the usual wear and tear.
Ultimately, check the ring’s prongs and ensure you don’t have any loose stones regularly. You can either do the prong check yourself or let the professional jeweller do its job.
Once you have insurance for your engagement ring, the next thing on your to-do list will be to find out how much the wedding will cost and plan the most special day.
The quotes for your engagement ring will depend on its value, coverage, excess and the insurer you pick. Generally looking, it will be more affordable if you add voluntary excess and pay one annual premium instead of monthly payments.
Insurance on valuable jewellery is worth it because it will have you covered in cases of theft, accidental damage, and stone loss while at home or abroad.
You can insure your engagement ring through your home contents insurance or get engagement ring insurance in the UK. However, before you do so, have your ring valued by a professional jeweller to avoid being underinsured. Additionally, with the fluctuating prices of precious metals and stones, do regular revaluation every three to five years.
My name is Marija, and I'm a financial writer at DontDisappointMe. Although finance might not be everyone's cup of tea, my 10+ years of working in one of the biggest banks in my country, and my interest in extensive research on everything finance/investment-related, have made me somewhat of an expert in the field (if I do say so myself). No longer having the passion to work in a corporate setting, I decided that I couldn't let all of this knowledge go to waste so I started writing. And, here I am! Today I try to share my knowledge with my audience in the hopes of making this topic as simple and interesting as possible. In my leisure time, I like spending time with my family and travelling to new locations.