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Insuring a diamond involves a bit of thought, planning, and a lot of looking around because it’s not like buying insurance for your vehicle - it is quite different. Dependant on which state that you live in, there exist basically three variations of policy which will insure diamonds, and every insurance policies that covers the gemstones, are called Marine type policies.

The initial type of insurance policy for gemstones is know as Actual Cash Value policy. If the diamond is lost or broken beyond repair, the insurance firm should replace the stone at the current marketplace value, no matter how much you put down for the stone to begin with however such a insurance is actually not very popular.

The most common variation of insurance policy for these diamonds is Replacement Value insurance ion which your insurer would only pay up to a fixed price in order to compensate for the diamond that was misplaced or destroyed. Nevertheless, this doesn’t mean that they will cover that price – it simply means that they will pay up to that price though in many cases, the diamond may be compensated for at a much lower amount.

The third type of coverage available for gemstones is known as Agreed Value and it’s sometimes called ‘Valued At’ though this type of insurance is extremely rare. In the event that the gem is lost or damaged beyond repair, the insurance provider just covers the cost which you and your insurance provider agreed upon. This is the best type of coverage to have, however it’s not usually available so if you can’t get Agreed Value coverage, Actual Cash Value insurance should be the next best choice.

The prices will be decided through the monetary worth of your stone, the type of coverage that you select, and the area that you live in. If you’re live in a place that has a heavy crime percentage, then you should plan to spend a larger amount for the diamond insurance policy. It’s important to remember that insurance agents aren’t qualified jewelers, and jewelers are not qualified insurance agents so it is best to get a certificate for your diamond, and to provide the insurance company with a copy of that certificate. This leaves the insurance provider less room for arguments over the actual [value] of your rock but don’t rely on separate coverage to cover your beloved diamond! For example, if the jewel is stolen from your home, it is probably covered on your house insurance policy – but, your stone may not be in your house all the time, and as soon as it goes out of the home, there is no coverage.