Can You Insure A Lab-Grown Diamond?
Yes — you can insure a lab grown diamond just like a natural one. Both are real diamonds, and insurers recognize them as such. The difference lies in value, documentation, and coverage options.
At Nazar’s & Co. Jewelers, we provide the appraisals, grading, and expertise you need to protect your investment. Here’s what to know.
Why Insure Your Lab Grown Diamond?
Even the hardest gemstone in the world isn’t invincible. Daily wear, unexpected accidents, or circumstances beyond your control can put your diamond at risk. Insurance provides peace of mind.
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Loss: Engagement rings are worn daily and are easy to misplace.
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Theft: Jewelry remains one of the most commonly stolen valuables.
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Damage: Though durable, diamonds can chip or crack under sharp impact.
Insurance ensures that your investment is protected no matter what life brings.
Do Insurers Treat Lab Grown Diamonds Differently?
No — insurers recognize lab grown diamonds as real diamonds. That said, there are a few details to keep in mind:
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Replacement value: Lab grown diamonds usually cost less than natural stones, which may lower premiums.
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Documentation: Just like natural diamonds, you’ll need grading reports and an appraisal to determine value.
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Market shifts: Lab grown pricing has shown more fluctuation, so updated appraisals are important.
How to Get Coverage
Insuring a diamond follows a clear process:
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Appraisal: A certified jeweler determines the diamond’s current value. At Nazar’s & Co. Jewelers, we provide accurate, up-to-date appraisals.
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Grading report: Provide certification (GIA, IGI, or similar) to confirm the diamond’s quality.
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Choose a policy: Add coverage to your homeowner’s or renter’s insurance, or opt for a specialized jewelry policy.
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Update regularly: Re-appraise every few years to keep coverage aligned with market value.
What Does Jewelry Insurance Cover?
Most policies include protection against:
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Loss
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Theft
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Damage
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“Mysterious disappearance” (loss with no clear explanation)
Always ask about exclusions, such as normal wear-and-tear or negligence, so you know exactly what’s covered.
How Much Does Diamond Insurance Cost?
Jewelry insurance is surprisingly affordable. On average, you can expect to pay 1–2% of the diamond’s value per year.
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A $5,000 lab grown diamond might cost $50–100 annually to insure.
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Premiums vary depending on your location, insurer, and type of coverage.
Because lab grown diamonds are typically more affordable than natural ones, insuring them often costs less as well.
Replacement vs. Cash Value Policies
Not all jewelry insurance works the same way. It’s important to know which type you’re getting:
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Replacement policy: Provides a diamond of equal quality if your stone is lost or damaged. This option makes it easier to get back what you had.
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Cash value policy: Pays out the appraised value in cash, giving you flexibility to choose your replacement.
Most couples prefer replacement coverage since it ensures the stone is quickly and seamlessly replaced.
When Should You Update Your Appraisal?
An appraisal isn’t a one-time step — it should evolve with your jewelry.
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Every 2–3 years is ideal, especially since lab grown diamond pricing can shift more than natural diamonds.
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After a major life event, like marriage or moving, it’s smart to review coverage.
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Updated appraisals prevent you from being underinsured or overpaying on premiums.
An outdated appraisal can leave you underinsured.
The Role of Jewelers in Protection
Your jeweler is your partner not just in purchasing, but also in protecting your diamond. At Nazar’s & Co. Jewelers, we provide:
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Professional appraisals backed by decades of expertise.
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Grading documentation for both natural and lab grown diamonds.
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Support with custom designs and repairs, ensuring your piece retains its long-term value.
The Bottom Line
So, can you insure a lab grown diamond? Yes — and you should. With the right policy, your diamond is safeguarded against life’s uncertainties, giving you complete peace of mind.
At Nazar’s & Co. Jewelers, we invite you to explore our stunning collection, experience our expert craftsmanship, and create your one-of-a-kind piece with confidence. From selection to protection, we’re here to guide you every step of the way.
Nazar’s & Co. Jewelers