Many brides-to-be and newlywed believe their rings are covered under their homeowners policy. To their great dismay they later learn that this is rarely true. MIke Malley, vice president of Personal Lines Operations at Jewelers Mutual Insurance Company in Neenah, Wisconsin from Jewelers Mutual says: “Many people still have the false impression that their jewelry is fully covered by their homeowners policies. What they don't realize is that unless their loss is from fire, theft, or some other cause specifically mentioned in their policy, it may not be covered.” Also coverage for theft of your jewelry generally is limited to $1,000. If the loss of jewelry occurs due to a burglary, this limit will not provide nearly enough coverage if a $5,000 ring is stolen, along with the rest of your jewelry.
Theft and fire aren't the only worries regarding your jewelry. According to Maley, more than half of all reported jewelry losses are partial losses, from the loss of a single stone to a chipped diamond. Many people are surprised to learn that everyday activities, like washing dishes in a ceramic sink or playing a physical sport, can cause these types of losses.
On Jewelers Mutual's web site, Stacey B., from Jonesborough, Tennessee tells how she chipped her diamond while playing with a dog. “Ack! I was heartbroken,” she wrote in her blog. While partial losses like this one typically are not covered by a basic homeowners policy, Stacey was fully covered with her policy from Jewelers Mutual. The company’s specialized jewelry insurance policy provides some of the broadest protection available, including coverage for damage, loss, theft, and even mysterious disappearance
With affordable rates,jewelry insurance is well worth the cost. “You would never drive your car without making certain it was fully insured,” Maley said. “Why take a similar risk with an expensive item that is so easily damaged or lost?”