Is Jewelry Insurance Worth the Investment?

Buying an engagement ring is a big deal. Not only are you getting ready to propose to the love of your life, you’re also making a significant financial investment. Just think: not only will this ring be worn by your beloved, but it could also be passed down to your descendants. That diamond ring you’re getting ready to purchase could be in your family for generations to come. 

It’s easy to get swept up in the excitement of finding the perfect ring, but there’s one thing you need to remember while you check out: jewelry insurance. Now, we know what you’re wondering—is jewelry insurance worth it? The answer to that question is almost always a resounding “YES.” Here’s why. 

How Does Jewelry Insurance Work?

First thing’s first: let’s talk about how jewelry insurance works. When purchasing a valuable piece of jewelry—like an engagement ring, diamond earrings, a tennis bracelet, etc.—you’re usually given the option to add a jewelry insurance policy. 

For a monthly premium, your jewelry is protected in the event that something happens to it. Jewelry insurance can’t replace something that’s been lost or stolen (unless you happen to find jewelry insurance that has magical powers), but it can cover the entire replacement value of your item’s worth. 

If something happens to your insured item, you’ll file a jewelry insurance claim and get connected to start the process of replacing your item. 

Why Do I Need Jewelry Insurance When I Have a Warranty? 

This is a great question. A warranty is an extended service plan offered by your jeweler. A jewelry warranty will cover minor wear and tear that comes from wearing your jewelry. Warranties usually cover things like small scratches, retipping, and prong replacement. They also include preventative maintenance services like diamond or stone tightening, cleaning, or buffing out minor scuffs. 

Warranties do not cover instances of damage, loss, or theft—that’s where a jewelry insurance policy comes into play. 

So, What Does Jewelry Insurance Cover? 

A good jewelry insurance company will fill in the gaps left by your homeowners insurance policy and/or jewelry warranty. Zillion’s insurance policies cover your jewelry in cases of: 

  • Loss
  • Theft
  • Accidental damage
  • Natural disasters

Zillion’s jewelry insurance policies come with a $0 deductible for replacement or repair, and filing a claim will have no impact on your rates. 

Is Jewelry Insurance Worth the Money? 

Let’s take a look at a few quick statistics about the average costs of popular jewelry items: 

Imagine you drop $6,000 on the perfect diamond engagement ring for your sweetheart, but you decline an insurance policy at checkout. 

A year later, you’re on your honeymoon and someone steals the engagement ring that your new spouse accidentally left out in your hotel room. Not only is the ring gone, but you’re now left having to shell out another $6,000 (or more!) for a replacement ring. 

Now, let’s go back in time to when you bought the ring. This time, you purchase a jewelry insurance policy. During your honeymoon, your spouse loses their engagement ring while swimming in the ocean. 

You’ve been paying your jewelry insurance premiums—the annual cost for your $6,000 engagement ring is around 1–2% of the replacement value (between $60–$120 a year; approximately $5–$10 a month.) So now, instead of having to pay $6,000+ for a new ring, all you have to do is contact your jewelry insurance company and file a claim. Since your ring is covered by a jewelry insurance policy, you’re given the full replacement value of the ring and can get your sweetheart a new one. 

While a jewelry insurance policy might not be the first thing you think about when getting ready to buy an engagement ring, when you break the cost down like we just did, it’s hard to see why anyone wouldn’t insure their jewelry! Insuring jewelry for less than you probably spend on a weekly Starbucks run is absolutely worth it.


Zillion partners with jewelers to offer their customers lower rates on jewelry insurance. If you don’t see your jeweler on our list, we’re sorry, we won’t be able to offer you a quote for insurance. If you purchased from a Preferred Jewelers International retailer please email us at and let us know the name of the retailer. Thank you.