The brilliance of a diamond ring can capture anyone’s heart, especially women. An aesthetic diamond ring is not just loved for its timeless beauty but it is also a valuable asset. It becomes crucial to safeguard it. To ensure your coveted ring remains safe, you must get jewelry appraisal for insurance. Once you have the appraisal document, you can get your ring insured effortlessly.
One can get a jewelry appraisal online from the comfort of their home. Prestige Valuations is a leading appraisal company. Their team of certified gemologists will determine the true worth of your precious piece in the market.
They also provide luxury handbag and watch appraisals, along with jewelry valuation services.
Different Types Of Insurance Coverage
Various types of insurance policies are available and you can select the best one according to your requirements. A homeowner’s insurance policy can provide basic coverage. But specific jewelry insurance can be a better option to ensure proper coverage.
For your fine jewelry pieces such as a diamond ring, two major types of insurance coverage can be opted. These include the replacement value and actual cash value. The depreciation will be considered when assessing the actual cash value. On the other hand, the replacement value will cover the cost of a new similar type of ring. For a precious diamond and gemstone ring, it is recommended to opt for insurance coverage that offers replacement value.
Before getting insurance, you will be required to get a jewelry appraisal for insurance by a certified appraiser.
Various Types Of Jewelry Appraisals
There are various types of jewelry appraisals, including the one we have already mentioned above – the jewelry appraisal for insurance. Let’s learn about them:
- Liquidation or Resale Appraisal
This appraisal value is estimated by an appraiser if you want to resell your ring. The appraiser will consider various factors when determining the liquidation value. They will find out the demand for your type of ring on the secondary market and study the market trends too.
Jewelry valuation services can provide you with a value that you can quote to buyers.
- Market Value Appraisal
If you want to know the fair market value of your diamond ring, you can opt for the market value appraisal. This value is estimated by the appraiser based on the demand for a similar ring like yours. The market condition also impacts this value.
- Estate Appraisal
When you want to get an appraisal for estate planning, tax purposes or distribution of property among your heirs, you will require an estate appraisal. The condition, age, design, style, manufacturing era and market trends will be studied before assessing the value.
- Divorce Settlement Appraisal
This is required for the unbiased distribution of marital assets like an engagement ring if a divorce case has been filed in court.
- Donation Appraisal
Donation appraisal is an important type of valuation. It is required if you are planning to donate diamond jewelry to a charitable trust. A fair market value of your jewelry is determined which is required for tax deduction purposes.
- Grading Report Appraisal
When the appraisal value is based on the diamond grading report provided by a gemological laboratory, it is known as the grading report appraisal. It is based on the diamond’s 4Cs (carat, color, cut and clarity).
Certified Appraisal Company
Whether getting jewelry appraisal online or offline, look for a certified appraisal company like Prestige Valuation. A professional appraiser must be qualified and certified by institutes like the American Gem Society (AGS), the Gemological Institute of America (GIA), the National Association of Jewelry Appraisers (NAJA) and the International Gemological Institute (IGI). This will ensure that the appraiser has the knowledge and experience to value your coveted diamond jewelry.
I hope, after reading the article, you have understood the importance of getting your valuable jewelry appraised.