Should you Buy a Warranty with your Jewelry

(569 Words)
When you buy a piece of jewelry from a department store or jewelry store, you will often get an offer to buy a warranty plan with it. Whether this will be worthwhile will depend on the piece of jewelry, the exact warranty plan and your characteristics. Consider the following advantages and disadvantages of a jewelry warranty plan when deciding whether it is for you.
Advantages
One advantage is that you may be able to get your piece of jewelry fixed or replaced if it gets broken or lost. The plans have different warranty terms, but the general idea of most of them is that you will be covered when problems such as manufacturer defects cause the piece of jewelry to be damaged or displaced. If it is not covered, you may lose hundreds or thousands of dollars.
A lot of people like the jewelry warranty plan because it gives them peace of mind. Even if they know that they will probably do better financially if they don’t get it, it still might make them feel better to have it. You might be less afraid to wear it out.
Some warranty plans come with other benefits. For instance, a lot of them allow you to get the ring re-sized and periodically cleaned. The plan itself may be cheaper than the cost of a ring sizing.
Disadvantages
Obviously, the biggest disadvantage of a warranty plan is the cost. It will often be based on the cost of the jewelry and can be significant. Many people buy insurance policies with every piece of jewelry that they get and yet never claim any. When it adds up, you may have lost a significant amount of money. Basically you are trading the loss of a small amount of money against the risk of a much greater amount. If you have many pieces of jewelry, however, these small amounts can add up. It might make a lot more sense to insure the very expensive pieces that would be a big loss should you lose the jewelry.
National Jewelry Replacement, Inc. points out many of the warranty plans also have so many limitations and exclusions that even if something terrible does happen, you will not necessarily be able to claim it. This will be extremely frustrating for someone who has paid the money to get it covered. These plans are usually only for a year or several years.
You also may already be covered for your jewelry or have another option that is cheaper. For instance, you might be able to put it on a personal articles policy through your insurance company. Sometimes some homeowners policies provide limited coverage, but check to make sure how it works. Moreover, even if jewelry is covered by homeowners insurance, the Washington State Insurance Commissioner recommends having it appraised to determine its insurable value.
You will also be stuck following whatever procedures the plan has. For instance, you will often have to get the piece of jewelry sent out when it is broken and it may take several weeks to get it fixed instead of right away if you were to bring it to your own jeweler. The policy may also charge extra to insure certain pieces of jewelry, according to the Consumer Action Handbook.
There are both advantages and disadvantages to buying a jewelry warranty plan. The above factors can help you decide whether to purchase such a warranty.