Why you should always insure your engagement ring

Why you should always insure your engagement ring

NEWLY-engaged Ellen McIver spent weeks searching high and low for her lost engagement ring.

She said her then-fiance and now-husband Martin Ball was “in pieces” when the pair realised it was missing — and it wasn’t insured.

“I was checking bins at work, retracing my steps to the bus but then I eventually found it one month later in my T-shirt drawer,” she said.

After being reunited with the ring the couple took out cover as an add-on to their home and contents policy.

MORE: The gorilla that makes us spend money

MORE: Why you should look beyond savings accounts to stash your cash

New independent research commissioned by Allianz Insurance quizzed 1000 Australians and found one in two don’t bother to insure their engagement rings.

About 33 per cent take off their ring regularly and about 22 per cent spend $5000 on an engagement ring.

Insurance Council of Australia spokeswoman Lisa Kable said people who insured valuable possessions like rings should be aware of the claims limits on each item.

“For example, if a $5000 ring is stolen and the set limit is $1000, it leaves the policyholder out of pocket,” she said.

“To increase set limits or to specify the amount for each item of jewellery, the policyholder will nominate a value and then pay an additional premium.”

Allianz chief market manager Nick Adams said, in 2018, the highest jewellery claim paid was $22,000.

Mr Adams said too often couples got caught up in the excitement of getting engaged and insurance was the last thing on their mind.

“People are often under the misconception the ring’s covered under their home and contents, which is not always correct,” he said.

Policies vary in price but typically cost about $30 to $40 extra a month to insure jewellery.


Source link