Q: When is it appropriate to add coverage to your homeowners insurance for valuable jewelry?

Luke Johnson, Kirkland, Wash.

A: Most standard homeowners policies cover only as much as $1,000 of jewelry losses -- and renters get even less coverage, usually about $500. That's not enough for most people, considering the average cost of an engagement ring is about $3,000.

It's best to get your jewelry appraised and purchase additional coverage that includes the replacement value of the pieces. Another plus with buying an add-on policy is that if you have to make a claim, it's unlikely to affect the premiums on your homeowners policy. Expect to pay about $35 more on an average policy for an extra $2,500 in coverage, according to Insure.com. Also note that many policies cover loss only from theft.