Tag Archives: Diamond insurance

Get In the Know: Learn About Diamond Insurance, Appraisals, & Certificates

As jewelry enthusiasts, we have some major love for diamonds (we know you do too!). We know you value your diamond jewelry, which is why it’s so important to care for your diamonds properly and understand diamond insurance, appraisals, and certificates. Just think, what would you do if your engagement ring chipped or was stolen…!  Get in the know with the below information.

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Insurance – Get those diamonds insured! There are several ways to insure your diamonds. If you’re a homeowner, you can purchase an extension on your homeowners’ policy. Another option is through a jewelry retailer who offers insurance, but make sure you do your research and compare plans first! The last way is to insure through a company that specializes in jewelry insurance such as Jewelers Mutual.

Appraisals – All insurers require an appraisal document. This document contains diamond information including a description, the diamond value, sales tax (this may or may not be included), treatment information, inscriptions, and at times other documentation located in an addendum. The value of a diamond is calculated by a number of factors such as the 4 Cs (cut, color, clarity, and carat weight), current retail prices, the metal weight, the origin of the materials, and the craftsmanship and design of the piece.

Certificate – A diamond certificate (cert) is also known as a diamond grading report and proves a diamond exists. A cert includes the carat weight, measurements, grades for the 4 Cs, and additional information such as an image of the diamond showing its inclusions. A cert created by a gem lab is much more accurate than a cert created by an individual involved with the diamond sale.

DiamondLegal_blog_20150708_b_ Feel free to ask any questions in the comment section, and if you’re in the market for some diamonds, check out the selection at Jewelry.com!

Diamond Certificates, Appraisals and Insurance

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On Diamond Certificates, Appraisals, and Insurance

Diamond jewelry is a precious investment. Protect your diamond jewels with these essential documents that will make you sleep a lot better at night.

Next to buying a home or car, buying a major diamond jewelry item like an engagement ring is likely to be one of biggest purchases you’ll ever make. That’s why it’s so important to be able to verify the characteristics, quality and value of your diamond in case it’s ever damaged, lost or stolen.

To help ensure that you don’t become just another “statistic,” here is a brief practical guide to diamond certificates, appraisals and insurance and what they can do for you.

Certificate – Also known as a diamond grading report, this is a professional evaluation of a diamond’s quality and characteristics. A certificate, or “cert” as it is often called in the trade, provides proof of a diamond’s identity. The best, most accurate certs are performed by independent accredited gem labs – such as the Gemological Institute of America and the American Gem Society – that were not involved in the purchase or sale of the diamond.

While a cert doesn’t state a monetary value of your diamond, it gives you a tangible document that attests to the quality and authenticity of your stone. It can help you “comparison shop” to determine which stone is a better value. It is also used by appraisers to help gauge a stone’s replacement value for insurance purposes. However, if you want to insure a diamond, you still need to obtain a separate appraisal.

Some of the things you’ll find in a standard grading report include: a plotted diagram of the stone, listing all of its significant characteristics, such as its shape, carat weight, color, clarity, exact measurements and proportions, imperfections, and the quality of the stone’s polish and symmetry. The report may also contain comments about the presence or absence of fluorescence in the diamond and the quality of its cut.

Appraisal – This is a document that states the approximate insurance, replacement or estate value of an item. It is required by insurers. The value of a piece of jewelry is calculated by appraisers using a number of different factors, which typically include: current retail prices in that regional market; cut, color, clarity and carat weight; the weight of the precious metal; the origin of the materials used; and the craftsmanship of the piece. The more detailed and accurate an appraisal report is, the less likely it will be challenged by insurance companies, the IRS, divorce lawyers or competing appraisers. Many appraisers also plot gemstones and use photos and/or diagrams as additional documentation.

Insurance – Many retail jewelers offer insurance options to customers through a partnership with an insurance firm. Policies can vary greatly and should be researched and compared against one another. A second option for you would be to add the coverage to your existing homeowner’s policy. Check with your agent about what is covered and what isn’t. A third option would be to contact an outside firm that specializes in separate jewelry insurance policies, such as Jewelers Mutual.

On Diamond Certificates, Appraisals and Insurance

Jewelry lovers, it’s time for a little learnin’. We all love to gawk and gush about our diamonds, but it’s also important to take care of them. Like little sparkly children. Here are some important tips from Jewelry.com that every jewelry hound worth their salt should take to heart.

Diamonds_blog_20100721_a_

Next to buying a home or car, buying a major diamond jewelry item like an engagement ring is likely to be one of biggest purchases you’ll ever make. That’s why it’s so important to be able to verify the characteristics, quality and value of your diamond in case it’s ever damaged, lost or stolen.

To help ensure that you don’t become just another “statistic,” here is a brief practical guide to diamond certificates, appraisals and insurance and what they can do for you.

Diamonds_blog_20100721_b_

Certificate – Also known as a diamond grading report, this is a professional evaluation of a diamond’s quality and characteristics. A certificate, or “cert” as it is often called in the trade, provides proof of a diamond’s identity. The best, most accurate certs are performed by independent accredited gem labs – such as the Gemological Institute of America and the American Gem Society – that were not involved in the purchase or sale of the diamond.

While a cert doesn’t state a monetary value of your diamond, it gives you a tangible document that attests to the quality and authenticity of your stone. It can help you “comparison shop” to determine which stone is a better value. It is also used by appraisers to help gauge a stone’s replacement value for insurance purposes. However, if you want to insure a diamond, you still need to obtain a separate appraisal.

Some of the things you’ll find in a standard grading report include: a plotted diagram of the stone, listing all of its significant characteristics, such as its shape, carat weight, color, clarity, exact measurements and proportions, imperfections, and the quality of the stone’s polish and symmetry. The report may also contain comments about the presence or absence of fluorescence in the diamond and the quality of its cut.

Diamonds_blog_20100721_c_

Appraisal – This is a document that states the approximate insurance, replacement or estate value of an item. It is required by insurers. The value of a piece of jewelry is calculated by appraisers using a number of different factors, which typically include: current retail prices in that regional market; cut, color, clarity and carat weight; the weight of the precious metal; the origin of the materials used; and the craftsmanship of the piece. The more detailed and accurate an appraisal report is, the less likely it will be challenged by insurance companies, the IRS, divorce lawyers or competing appraisers. Many appraisers also plot gemstones and use photos and/or diagrams as additional documentation.

Insurance – Many retail jewelers offer insurance options to customers through a partnership with an insurance firm. Policies can vary greatly and should be researched and compared against one another. A second option for you would be to add the coverage to your existing homeowner’s policy. Check with your agent about what is covered and what isn’t. A third option would be to contact an outside firm that specializes in separate jewelry insurance policies, such as Jewelers Mutual.