Are you wasting money getting a diamond ring appraisal?
Why do I need a diamond ring appraisal when i have a diamond certificate which came with my ring?
Well a diamond certificate gives you facts about your ring including carat, color & clarity while an appraiser places a value to your ring.
You definitely want this?
So is your certificate of any value?
Most definitely; it acts as a diamond grading report which you can use as reference when you have your diamond ring appraised.
It also acts as an ID or a sort of diamond finger print which enables you to identify your diamond ring were you to loose it & the police recovered it.
Just having your name engraved on your ring is not enough.
What do you need to know before you rush off to a diamond ring appraisal done?
- First and foremost, anyone can appraise your ring, if you let them!
- You do not require a license to value a ring.
This can be evidenced if you were to take your ring to 4 or 5 different jewelers.
You will be quite surprised that you will probably end up with 5 different opinions ranging in value from low to very high.
- Based on this, do avoid jewelry shops to do your valuation.
They are in the business of selling & might not be impartial.
- You have to be very careful whom you let do your valuation.
Ideally, this should be done by a trained gemologist who already understands diamonds and has also been trained in appraisal.
Why the big fuss with where and who does my diamond ring appraisal?
- By the very nature of diamonds and precious metal, they mainly tend to appreciate with time.
- If you have owned your ring for a few years, it has probably increased in value due to high gold, platinum and diamond prices. Nice huh?
It is advisable to have your ring appraised every 3-4 years to take the above in to consideration.
- If the diamond on your ring is graded at a smaller size than it is or if its color and clarity are lower than they should be.
The value you’ll get will be low and in case of loss or theft, you’ll be unable to replace it.
- If your diamond is graded at a larger size, higher clarity e.g. VS1, higher color F instead of H than it actually is, you’ll pay higher premiums.
This is due to the perceived cost of your diamond ring if you decide to insure it.
- If you do insure it and the insurance company had their own accurate valuation done.
They’ll pay you less than you think you should get in case you make a claim.
So what to do?
I suggest using an appraiser who has a certificate from a recognized gem grading institution e.g. The GIA or the EGL.
Your ring appraisal should state the following;
- A detailed description of your ring including any engraving, special distinguishing marks and a good photo of it.
- The retail or approximate retail value to use in replacing your ring which is calculated using current market prices.
- The carat, color, cut and clarity of your diamond.
- The type and weight of the metal used in your ring.
So next time you decide to invest a good chunk of money on a ring, it would be a good idea to budget for a diamond ring appraisal.