From celebrity bling to your ring: What to know about your diamond before saying ‘I do’

One of the world’s most influential cultural icons, Taylor Swift, is once again making headlines – this time not for a record-breaking tour, but for her engagement to football star Travis Kelce, who recently proposed with a jaw-dropping ring estimated to be valued between $500,000 and $1 million. It features an 8-carat Old Mine Cut diamond – a rare historic cut dating back to the 18th century – set in handcrafted 18k yellow gold. With its antique setting and one-of-a-kind facets, it’s as unique as it is valuable. 

And with Spring around the corner, which marks the kick off for the engagement and wedding season in South Africa, Swift’s headline-making sparkler is a timely reminder that behind every diamond promise of ‘I do’ – whether natural or lab-grown – lies the need for proper protection.  

“If you are lucky enough to be able to afford a high value diamond, make sure that your insurance policy will cover it when buying it. High value items, like Taylor Swift’s engagement ring, present a unique risk to insurers and often require specialist cover. Antique or heirloom rings in particular have distinctive qualities and craftsmanship, which is why they demand extra care when insuring. The right policy ensures that, if the worst happens, they can be repaired or replaced with something of comparable rarity and value,” says Tarina Vlok, MD of Elite Risk, a high-net-worth insurer and subsidiary of Old Mutual Insure. 

She explains that a loss could be theft or damage, like small diamonds falling out. 

“Not all policies cover everything, so it’s important to read the fine print. Some exclusions include wear and tear, faulty workmanship, or chipping,” says Vlok, adding that specialist insurance is often necessary depending on whether the diamond is natural or lab-grown.

She says that engagement rings must be insured for their replacement value and require detailed valuation certificates. 

“There are significant cost differences between synthetic and lab-grown diamonds, and of course, this impacts insurance,” she says. 

Vlok adds that diamonds are issued with a GIA (Gemmological Institute of America) certificate or EGL (European Gemmological Laboratory) certificate, which will indicate whether the diamond is natural or lab-grown.

“Whereas there is nothing wrong with lab-grown diamonds, they are significantly less pricey than natural diamonds. Insurers increasingly require a gemmology certificate to verify the origin, and therefore the replacement value of the diamond,” she says. 

When a high value diamond ring needs repair 

Vlok advises that if your diamond ring is insured, you should first confirm with your broker or insurer whether the original jeweller is on their panel of approved jewellers. If they are, it’s best to return the ring to them for any repair or replacement. If not, ask your insurer what reinstatement options are available to ensure the work meets your specific requirements. It’s also worth remembering that the natural diamond market is unpredictable – prices and availability can shift significantly. Because each natural diamond is unique, sourcing one with the same characteristics may take time and involve higher costs, which ultimately affects the overall replacement process.

A happy forever-after: Tips to ensure your diamond ring remains protected 

1. Get an appraisal: Have your diamond ring valued professionally to determine its value. Regularly update the appraisal every three to five years, as natural diamonds appreciate in value. It’s also important to note that a diamond grading report you may receive with your engagement ring is not an appraisal.
   
   
2. Ensure you get a GIA or EGL certificate for your natural diamond: This will ensure peace of mind in the event that the diamond needs to be replaced.
   
   
3. Keep documentation: Maintain detailed records, including receipts, valuation and other certificates to support any future jewellery claims, and to prove ownership. It is best to share this with your insurer before a claim could arise. Important to note that many insurers don’t accept photos as part of this documentation.
   
   
4. Store your ring correctly: If you’re not wearing your jewellery, most insurance policies will require it to be kept in a locked safe at home. Failing to follow these conditions could mean you aren’t fully compensated if something goes wrong. For example, if your policy has a locked safe clause and a R300 000 ring disappears without being secured, your claim may only be paid out to a capped amount or even not paid out at all. Ensure that you know the jewellery safekeeping conditions of your policy. 

“Remember, diamonds carry both a high financial and emotional value. Having insurance for a high value item can help ease the hardship in the event of a loss,” concludes Vlok.