Would you allow a diamond to be set without insurance?

[MillieLou]

I am in the UK and unable to find anyone who will insure a loose stone while it is being set, including my existing home insurer and jewellery insurance specialists.

I am buying an approx £3500 emerald cut stone from Blue Nile UK and this is definitely not small change to me.

I have an experienced and skilled local jeweller (who has done custom work for me before) who will make the platinum setting attached for £750 (the photos are theirs of the same ring they've just made for someone else). But their insurance will not cover the stone and they have made it clear upfront that while it is extremely unlikely for anything to happen to the stone, it will be at my own risk.

The alternative would be to have Blue Nile set the stone in one of their stock settings. The closest I can find is this one, which is a comparable price: https://www.bluenile.com/uk/build-y...-setting-platinum_23185?diamondSku=LD14928572 (this also shows the diamond I've bought)

The prongs do not look as refined and the shape of the basket will not allow a wedding band to sit flush (though I don't mind this). But, I wouldn't be risking a £3500 loss!

What would you do?

 

[diamondseeker2006]

No, I don't like the BN setting at all. I'd go with the local person. Are you planning to insure the ring yourself or not? I personally wouldn't worry about it as long as you trust your jeweler not to lose it or something like that. It would be extremely rare for the stone to be damaged during setting with an experienced higher end jeweler.

 

[MillieLou]

No, I don't like the BN setting at all. I'd go with the local person. Are you planning to insure the ring yourself or not? I personally wouldn't worry about it as long as you trust your jeweler not to lose it or something like that. It would be extremely rare for the stone to be damaged during setting with an experienced higher end jeweler.

Thanks. They are definitely experienced and did say it would be extremely rare for anything to happen, especially with an EC as opposed to something with sharp points where the risk may be a little higher. I would insure the ring once set but I can't find an insurer who would insure a loose stone being set.

Can you see any issues with the local jeweller setting I've posted? They are happy to tweak the design; I wondered about getting the shank a bit thicker for durability?

 

[diamondseeker2006]

Do you know how wide the shank is in those pictures? I would personally go with 2mm or 2.2 max. I think that’s a good size for your stone.

Will you wear it with a wedding band that you already have? If so, how wide is it?

 

[denverappraiser]

Offer to pay them. It's amazing how that tends to loosen up people. Try offering 2% of the purchase price plus their normal setting fee.

 

[MillieLou]

Do you know how wide the shank is in those pictures? I would personally go with 2mm or 2.2 max. I think that’s a good size for your stone.

Will you wear it with a wedding band that you already have? If so, how wide is it?

The shank in the photos is said to be 2mm tapering to 1.5mm. It looks a bit thin for my liking. I would wear it with my existing wedding band which is plain platinum, 2mm thick but also 2mm depth so it's very sturdy. I've attached a photo.

 

[MillieLou]

Offer to pay them. It's amazing how that tends to loosen up people. Try offering 2% of the purchase price plus their normal setting fee.

Good idea, I will try that! They are making the ring as well as setting the stone (not a separate fee), so do you mean 2% of the purchase price of the diamond or the ring?

 

[denverappraiser]

2% of the 'insurance' amount, which would be the BN selling price plus the price of the ring/labor/etc. By the way, in the US, at least, insurance is a highly regulated business. That word may be a problem.

BTW, I agree the risks here are low. 2% definitely leaves room for a profit. The 'real' insurance companies in the US who offer this service are usually about half of that.

 

[diamondseeker2006]

In that case, you need to tell the jeweler the shank height of the engagement ring needs to be 2mm high so it will work with your wedding band. Then I think you could make the engagement ring shank 2.2 mm at the widest at the base tapering to 1.8 near the basket.

I'd have him polish the wedding band, too, so the rings will both look like new!

 

[MillieLou]

Just checked, unfortunately there is no way they can offer insurance during setting even if I pay something. They explained they have looked into it for others who have asked the same and it just can't be done Either I take the risk or not though they explained it's really unlikely anything will happen.

Thinking about minimising risk... Does a jeweller need the stone for the whole X weeks of custom designing or can they do it off measurements and have me bring it in to set and finish at the end? I should have asked but they are closed now.

 

[LLJsmom]

In for a penny in for a pound. I don’t know the answer but I would rather them have what they need to do it right. And I didn’t have insurance when my stones were being set. Just crossed my fingers.

 

[RunningwithScissors]

I know that everyone is different, but I personally only insure jewelry pieces over $10-$15K USD. Even if you ensure a piece, you'll still need to pay a sizable deductible if something happens. And your premiums on everything will often go up afterwards. So is it really worth it on a $5K piece?

 

[MillieLou]

I know that everyone is different, but I personally only insure jewelry pieces over $10-$15K USD. Even if you ensure a piece, you'll still need to pay a sizable deductible if something happens. And your premiums on everything will often go up afterwards. So is it really worth it on a $5K piece?

Thanks @RunningwithScissors - I also lean towards not insuring non-essentials in everyday use. Mainly due to the knock on effect it will have on my other premiums if I were to claim, and a lingering suspicion that the insurer would find some reason not to pay out. I guess it's just in this specific case of a loose stone being set, it seems a higher risk time for damage, but I don't really know what the risk is with the setting process. To my inexperienced mind, it seems a lower risk stone being a diamond, VVS2, with a thick girdle with no sharp points..?

 

[Kasey Bug]

As an insurance person, no they won’t insure loose stones because they can be changed out too easily or lost. I would buy a cheap setting, have the stone set, take it to your jeweler as a set stone and have him change it to what you want. You could insure it when you first took possession because it was in a setting and not loose. I’m sure nothing will happen to the stone but accidents do happen. Good luck.

 

[MillieLou]

As an insurance person, no they won’t insure loose stones because they can be changed out too easily or lost. I would buy a cheap setting, have the stone set, take it to your jeweler as a set stone and have him change it to what you want. You could insure it when you first took possession because it was in a setting and not loose. I’m sure nothing will happen to the stone but accidents do happen. Good luck.

Thanks @SMGB that's really helpful. So, as long as it was set in a ring when I first insured it, it would be covered for damage while re-setting?

The cheapest setting on Blue Nile is £170 so it just seems a bit of a waste though

 

[MillieLou]

OK, so it seems the "best" jewellery insurer in the country (TH March which offers dedicated jewellery insurance) specifically excludes damage to the item while it is being worked on / renovated. So I guess even resetting will fall into that category. It also excludes so much that I do wonder what the point of insurance for jewellery is... Maybe just not a big market in the UK?

I read another insurer didn't pay out as they needed a new appraisal every single year, and the person hadn't got one within 12 months at the time of loss, despite paying their premiums in full.

---------------------------------------

Significant Exclusions and Limitations

• Loss or damage caused by general wear and tear or mechanical failure, fault or breakdown other than that resulting from wear and tear or mechanical failure to a clasp, setting or other fastening, carrier or container.

• Loss or damage caused by any process of cleaning, dyeing, repair or renovation or whilst being worked on.

• Loss or damage which, but for the existence of this insurance, would have been provided under contract, legislation, guarantee or other more specific insurance.

• Loss from baggage unless such baggage is carried by hand and under the personal supervision of either you or an insured person under this certificate.

• Loss or damage to insured items whilst in any professional storage facility other than a bank or professional safe deposit facility.

• Any item under the Sundry Jewellery section with a replacement value, inclusive of VAT, in excess of £1,000.

• Any loss arising where you or an insured person under this certificate are in any way connected with any form of professional entertaining. • Underwriters shall be entitled, at their sole option, to replace in a manner of their choosing any article lost or damaged, or to pay cash not exceeding the insured value if a suitable replacement is not available.

 

[Kasey Bug]

I’m in California and have my jewelry on a personal articles policy which is separate from my homeowners policy. They don’t cover wear & tear or deterioration. I would say if the jeweler has it with him then it’s in his care, custody snd control, he’s responsible for it. Accidents do happen however I’ve never had anything happen to my stones when at the jewelers for resetting. I do have a friend that had a 2+ carat IF, G color and the jeweler misplaced it. The jeweler was refusing to cover the cost of replacement until they threatened to obtain an attorney and threw the care, custody and control at him. He paid up and never located the stone.

 

[MillieLou]

I’m in California and have my jewelry on a personal articles policy which is separate from my homeowners policy. They don’t cover wear & tear or deterioration. I would say if the jeweler has it with him then it’s in his care, custody snd control, he’s responsible for it. Accidents do happen however I’ve never had anything happen to my stones when at the jewelers for resetting. I do have a friend that had a 2+ carat IF, G color and the jeweler misplaced it. The jeweler was refusing to cover the cost of replacement until they threatened to obtain an attorney and threw the care, custody and control at him. He paid up and never located the stone.

Gosh that's a scary story. This is the sort of thing that terrifies me.

I am considering just getting it set in the most basic BN setting and living with it for a couple of years first. Perhaps getting the "forever setting" for a big birthday in a couple of years. I just can't bear the thought of a brand new diamond that I've never even had the chance to enjoy potentially being damaged with no recourse. Plus it will give me a chance to change my mind a million times, which I tend to do... And I've lost a load of weight recently with a significant drop in ring size, so I could also see if that's temporary or permanent without having to keep resizing the ring.

 

[Kasey Bug]

I hear ya on the changing your mind thing lol. One thing to remember is that wherever you buy the diamond ring, they still had to set the stone however I think you’re making a good decision. The fewer number of times the stone is set, the fewer times it could potentially be damaged. I worry about myself damaging my stone rather than my jeweler.

 

[yssie]

As an insurance person, no they won’t insure loose stones because they can be changed out too easily or lost. I would buy a cheap setting, have the stone set, take it to your jeweler as a set stone and have him change it to what you want. You could insure it when you first took possession because it was in a setting and not loose. I’m sure nothing will happen to the stone but accidents do happen. Good luck.

This.
Have BN set it in the cheapest setting possible.
Insure it.
Contact your insurance provider and confirm that the stone will be insured during reset.
Have your local jeweller reset the now-fully-insured stone.

 

[Izzy70]

I am in Guernsey and currently have my loose diamond insured on my buildings and contents policy as a named item. I had no issues with insuring it. I am with NFU Mutual.
I have not yet looked into the coverage whilst it is being set at my local jeweller but hoping he will only need it a couple of times when he is making the ring and setting it. The rest of the time it can be home with me where I can spend my time looking at it

 

[MillieLou]

This.
Have BN set it in the cheapest setting possible.
Insure it.
Contact your insurance provider and confirm that the stone will be insured during reset.
Have your local jeweller reset the now-fully-insured stone.

Thanks Yssie. Yes I think this will be the plan. I will probably not rush to reset as soon as I get it though, and take some time getting to know it. It will also give me a chance to find an insurer that will cover it during reset, as the two I have contacted so far specifically exclude this - I imagine as it's a higher risk time for the stone.

I am in Guernsey and currently have my loose diamond insured on my buildings and contents policy as a named item. I had no issues with insuring it. I am with NFU Mutual.
I have not yet looked into the coverage whilst it is being set at my local jeweller but hoping he will only need it a couple of times when he is making the ring and setting it. The rest of the time it can be home with me where I can spend my time looking at it

Thanks Izzy, that's great to know. I will try NFU Mutual and see what they say. I'm less concerned about loss at the jeweller (though you never know), but rather accidental chipping or cracking during the setting process.