Engagement Ring Insurance: Everything You Need To Know (2024)

It doesn’t have to be Valentine’s Day for love to fuel the desire to get down on one knee and pull out an engagement ring. And whenever you do pop the question, have an insurance plan in place, too. Paying for a lost or damaged ring could end up being painful. Engagement rings cost an average of $5,500 in 2023, according to the most recent data from wedding website The Knot.

What Is Engagement Ring Insurance?

Engagement ring insurance pays to replace or repair your ring if it is stolen or damaged. There may be additional coverage, too, depending on the type of insurance you buy. Engagement ring insurance can be a part of your homeowners insurance or renters insurance, purchased as a floater, or purchased as a stand-alone jewelry insurance policy.

What Does Engagement Ring Insurance Cover?

An “all risk” engagement ring insurance policy, such as a stand-alone jewelry insurance policy, covers your ring for:

• Damage
• Theft
• Loss
• Mysterious disappearance

For example, if you accidentally lose your ring while swimming in the ocean or if you don’t know what happened to your ring (mysterious disappearance), the insurer will pay to replace the ring, up to the policy’s limits.

Insurance policies that aren’t “all risk” can have more limited coverage for jewelry, so make sure you understand what situations a policy covers before you depend on it.

Whatever type of policy you buy to cover your engagement ring, it likely covers the ring worldwide.

What Does Engagement Ring Insurance Exclude?

Here are some common exclusions in engagement ring insurance:

• Deterioration
• Intentional loss or damage
• Manufacturer defect
• Nuclear hazard
• Pest damage
• Pre-existing damage to the jewelry
• Voluntary parting with your ring, such as if you sell the ring and the buyer’s check bounces
• War or military action
• Wear and tear

How Much Does Engagement Ring Insurance Cost?

Jewelry insurance will typically cost 1% to 2% of the ring’s value. So an engagement ring valued at $6,000 could cost roughly $60 to $120 a year to insure. That’s about $5 a month to $10 a month for engagement ring insurance.

That’s not much for a major investment considering these statistics about engagement rings:

• Nearly half (46%) of people surveyed in Ringspo’s 2022 Engagement Ring Survey said they spent more on their engagement ring than on their first car.
• A Jeweler’s Mutual survey found that more than 70% of consumers said their engagement ring was one of the most expensive items they own.

Does Your Homeowners Insurance Cover an Engagement Ring?

A typical homeowners insurance policy covers jewelry, including an engagement ring, that is stolen or damaged or destroyed by a problem covered by the policy, like a fire. However, home insurance policies typically have a $1,500 coverage limit for theft of jewelry. You can pay extra to raise that limit—such as to $2,500 for each piece, and $5,000 for all jewelry—but even that may fall short of compensating you for the full value of an engagement ring.

Bryan Howard of Jewelers Mutual, a company specializing in jewelry insurance, cautions against assuming your homeowners policy will adequately cover an engagement ring.

How Does a Floater Cover an Engagement Ring?

For better coverage, add a “personal articles floater” to your home or renters insurance, also known as scheduling personal property. This way you can insure the ring for its full value in case of theft.

A floater also offers better coverage than a regular homeowners insurance policy because it typically covers an accidental loss, including an engagement ring that slides down the drain of the kitchen sink. It’s a serious consideration: In a Jewelers Mutual survey, 60% of respondents admitted they don’t remove their engagement rings before washing their hands and 50% don’t take them off before showering or sleeping.

Should You Buy Stand-Alone Jewelry Insurance?

A stand-alone jewelry insurance policy can cover the widest range of problems. Sellers of stand-alone jewelry policies include BriteCo, Jewelers Mutual and Gemshield, which are the top-rated insurers in Forbes Advisor’s ranking of the best jewelry insurance companies.

One of these policies can cover a range of circ*mstances such as:

• Damage (such as fire damage).
• Accidental loss (such as a ring that goes down the drain).
• Theft.
• Mysterious disappearance (when you don’t know how the ring disappeared).
• Repairs for normal wear and tear, such as bent prongs.

A stand-alone jewelry insurance policy can cover the widest range of problems.

A stand-alone jewelry insurance policy may include an annual inflation adjustment to account for increases in value. (Or you could have your engagement ring re-appraised every few years and adjust your coverage amount accordingly.)

A stand-alone jewelry insurance policy may also have a deductible, which is the amount subtracted from the insurance payout if you file a claim. But many jewelry insurers offer $0 deductible policies.

Who Should Insure an Engagement Ring?

Consider buying engagement ring insurance if:

• You can’t afford to replace the ring if it’s lost, damaged or stolen.
• You travel often and feel the travel increases risk to your ring.
• You would suffer financially if the ring were damaged or lost.
• You misplace items regularly.
• You would have better peace of mind knowing your ring is covered.

How to Compare Engagement Ring Insurance

The three main methods for getting engagement ring insurance each has its advantages. If you’re buying jewelry insurance, your decision may rest on the breadth of coverage you want.

Cover the Ring Under Your Existing Home Insurance If:

• The ring doesn’t have a high value. It will be grouped with your other possessions under the property insurance portion of your homeowners policy. Check your policy’s property coverage limit.
• You don’t mind a limit on theft for jewelry. (Check your policy, but the standard limit for theft of jewelry is often $1,500.)
• Damage that’s covered might be a specific list, such as fire and explosions.
• You don’t mind not having coverage for losing the ring or mysterious disappearance.

Buy a Floater on Your Home Insurance Policy for the Ring If:

• You want theft coverage for the full value of the ring.
• You want “all risk” insurance that covers all causes of damage, except causes that are specifically excluded.
• You want coverage for “accidental loss” like dropping the engagement ring down a drain.

Buy a Standalone Jewelry Insurance Policy If:

• You want theft coverage for the full value of the ring.
• You want an “all risk” insurance policy that covers all causes of damage, except causes that are specifically excluded.
• You want coverage for “accidental loss” and “mysterious disappearance.”
• You want coverage for additional problems, like a chipped stone.
• You don’t want an insurance claim for the ring to affect your home insurance rates.

Engagement Ring Insurance Frequently Asked Questions