We recommend having your diamond ring appraised for peace of mind as well as being eligible to receive the full financial reimbursement for your jewelry through an insurance company. Blue Nile and James Allen are two reputable diamond vendors www.loansolution.com/payday-loans-ne/ who provide complimentary appraisals with their engagement rings and other fine jewelry. For the what, when, why and how of appraisals, read our full article below.
If you would like to have an independent evaluation of your ring when purchasing, I suggest reaching out to BriteCo, a revolutionary online jewelry insurance company. You can input the information from your purchase (from James Allen, Blue Nile or anywhere) and they will give you estimated value, along with an insurance quote. They are also one of the best insurance options around, so you are killing two birds with one stone.
For more resources on trading in or upgrading your ring, read our article here. If you’re looking to sell your ring, be sure to read this expert guide.
What is a Diamond Ring Appraisal?
An appraisal is one form of assessing a diamond ring. This official piece of paper will describe the assigned value of your entire ring-including your diamond, other stones and your setting. Professional appraisers and jewelers provide these value assessments. In the jewelry industry, it’s standard for appraisals to be inflated, usually at 100% above the retail value.
In other words, the appraisal doesn’t represent the true value of the diamond ring. For example, this Halo Diamond ring from James Allen sold for $4,582. It would likely be appraised at double the price at $9,164. And this Three-Stone engagement ring from Blue Nile, sold at $4,172 would likely be appraised at around $8,344.
When you first receive your appraisal, it may seem like you snagged a great deal. But both the insurance company and the jeweler benefit from the elevated appraisal. Insurance companies can charge higher premiums and the jeweler can boast an excellent deal.
This is why appraisals need to be taken with a grain of salt. They are a tool that serves two purposes. Ensuring you aren’t getting ripped off when purchasing a diamond and a necessary paper for you to get insurance. This is why we think BriteCo is such an easy and cost effective solution for consumers.
Because an appraisal doesn’t reflect the actual value of your diamond ring, you need to be realistic about what to expect when you sell or trade-in your stone. You may be surprised at how little you receive in comparison with your appraisal. Your appraisal is not a good indicator of what you’ll get for a resale price. It is more for insurance purposes. For additional information on what it’s like to sell your diamond, read our article on selling diamonds here.
Cost of Diamond Ring Appraisal
Based on the appraiser’s expertise and your location, the rate for a diamond ring appraisal can range from as low as $45 to $155 or more per hour.
- An extremely low rate. Appraisers that charge significantly less than others often seem like a good deal. However, choosing someone that charges very little may mean dealing with an inexperienced appraiser that isn’t properly credentialed, or increasing your risk of being the victim of a jewelry appraisal scam.
- A rate based on a percentage of the jewelry’s value. Reliable appraisers charge a flat rate based on their time, not a percentage-based fee. This allows them to offer unbiased information on how much your ring is worth.
To avoid any problems, make sure that you choose an appraiser that charges a flat rate, or one that charges by the hour or by the piece. Ask for a minimum fee before committing so that you know how much you’ll need to pay ahead of time.