Valentine’s Day is right around the corner and couples are looking for the perfect gift that says, “I love you.” According to WalletHub, Valentine’s Day is the third-largest consumer holiday in the U.S. In fact, shoppers spend more than $18 billion per year in the name of love with the average person spending close to $140. Be sure to make smart financial decisions by remembering the true meaning of the holiday, exploring alternative options for gifts and insuring pricey jewelry.

Don’t Equate Love With Dollar Signs

First and foremost, try not to get carried away with finding the perfect gift for your Valentine. Don’t let Cupid shoot an arrow through your budget just for a piece of jewelry. One way to avoid overspending on Valentine's Day is to establish a spending limit for gifts with your significant other beforehand and sticking to it. Setting a limit may actually make the process more fun. When you only have $20 to spend on a gift, you may end up with something more creative and personal than what you would have purchased at the jewelry store.

Do Your Research

If your budget allows, and you plan on splurging on a Valentine’s Day gift, it’s important to explore your options. First, try to get an idea of what your significant other appreciates in a piece of fine jewelry. Check out her jewelry box and consider her style. For example, if your significant other is active, some simple studded earrings might be more practical than large hoops.

Before you hit the jewelry store, be sure to do some research. According to USA Today, sites like Jewelers of America and online retail sites like Blue Nile help explain jewelry lingo like diamond clarity or how gemstones are graded. If you want something that sparkles, but also want to save money or avoid gems from conflict zones, synthetic diamonds are about 20 to 40 percent less expensive and are chemically the same as mined diamonds.

Insure Expensive Gifts

Once you’ve purchased a piece of fine jewelry, whether it's a diamond engagement ring or a sapphire necklace, don't forget to protect your precious gift with the right insurance. In case the piece gets damaged or is lost or stolen, having insurance will give you some financial protection should you need to replace it. When insuring jewelry, keep in mind that although the gift may be priceless in your opinion, insurers will only cover its actual, appraised value, not its sentimental value. If you have a homeowners or renters insurance, it may or may not cover the full value. According to U.S. News and Money, most policies come with a cap starting at $1-2,000 on certain types of high-value items, like jewelry. Homeowners or renters insurance also will not cover an accidental loss.