More people are rethinking how they buy diamonds. Whether it’s for an engagement ring, a gift, or just because, shoppers today are asking tougher questions—about cost, ethics, and value.
Lab-grown diamonds are showing up more often in those conversations. But with growing interest comes confusion. Are they real? Do they last? Will they be worth anything in 10 years?
This guide breaks down the most common questions Australians have about lab-grown diamonds. No hype—just clear, honest answers to help you decide what’s right for you.
What Are Lab-Grown Diamonds?
Lab-grown diamonds are made using two main methods: CVD (Chemical Vapour Deposition) and HPHT (High Pressure High Temperature). Both replicate the natural conditions that create diamonds underground, but in a controlled lab environment.
The result? A diamond that’s chemically, physically, and optically identical to a mined one.
They’re not simulants like moissanite or cubic zirconia. Lab-grown diamonds have the same hardness, brilliance, and structure as mined diamonds. In fact, without specialised equipment, even professional jewellers can’t tell the difference.
Just like natural diamonds, lab-grown ones are graded on the 4Cs: cut, colour, clarity, and carat, and certified by labs like GIA or IGI.
Are They Cheaper? Why?
Yes, lab-grown diamonds usually cost less—up to 60–70% cheaper than mined diamonds of the same size and quality.
Why? It’s not because they’re lower quality. It comes down to supply and production. Mined diamonds involve heavy equipment, long logistics chains, and high extraction costs. Lab-grown diamonds skip all that. They’re made in labs, often within weeks.
There’s also no artificial scarcity. The mined diamond market has long been shaped by tight supply control. Lab-grown stones are more accessible, which naturally brings prices down.
For buyers, that means you can often get a larger or higher-quality stone for the same price.
Will They Hold Value Over Time?
If you’re buying a diamond as a financial investment, lab-grown probably isn’t the way to go. The resale market is still limited, and prices can drop quickly after purchase.
But that’s also true for many mined diamonds—unless they’re rare or antique. Most diamonds lose resale value once they leave the store, regardless of how they were made.
So it’s better to think of a lab-grown diamond as a personal value purchase, not a financial asset. You’re paying for something that looks great, feels meaningful, and reflects your values.
If resale is a priority, talk to a jeweller upfront. Some offer buyback or upgrade programs—but it’s not standard.
Are They “Fake” or Just as Good?
Lab-grown diamonds are not fake. They’re real diamonds—same sparkle, same structure, same durability.
The confusion often comes from lumping them in with diamond simulants like moissanite or cubic zirconia. Those look similar but are made from different materials and don’t have the same hardness or light performance.
Lab-grown diamonds are graded by the same labs that certify mined diamonds, like GIA (Gemological Institute of America) and IGI (International Gemological Institute). You’ll see reports listing the same 4Cs: cut, colour, clarity, and carat.
The only real difference? Where they come from. One is pulled from the ground. The other is made above it.
Can You Insure Them?
Yes, you can insure lab-grown diamonds, but coverage varies among insurers. Many Australian insurance companies include jewellery in their home contents policies, but coverage limits may not reflect the full value of your pieces. It’s essential to discuss your specific needs with your insurer.
Key Points:
· Policy Limits: Standard home contents insurance may have sub-limits for jewellery. Ensure these limits align with your jewellery’s value.
· Valuation Requirements: Insurers often require an independent valuation. This document provides proof of your jewellery’s worth and is crucial for claims.
· Photographic Evidence: Keeping detailed photos of your jewellery can support your claim process.
· Security Measures: Storing valuable jewellery in a safe can deter theft and may influence your insurance premiums.
For detailed guidance on insuring your diamond jewellery, refer to Allianz recommendations.
Is There a Way to Tell Them Apart from Mined Diamonds?
Not by looking. Lab-grown and mined diamonds look identical, even under a jeweller’s loupe.
The difference comes down to how they were formed. That can only be detected using specialised lab equipment, like UV light tests or spectroscopy. This is how gem labs like GIA or IGI confirm a diamond’s origin.
That’s why certification matters. A proper grading report will state whether the diamond is lab-grown or mined. Without it, there’s no reliable way to know.
If you’re buying, ask for the certificate. And double-check it comes from a recognised lab—not just an in-house report from a seller.
Are They Better for the Environment?
In general, lab-grown diamonds have a smaller environmental footprint than mined ones—but it depends on how they’re made.
Mined diamonds require large-scale land disruption, water use, and carbon emissions. Lab-grown diamonds avoid most of that. But growing diamonds in a lab still takes a lot of electricity, especially with the HPHT method. If that energy comes from fossil fuels, the carbon impact can still be high.
Some producers are shifting to renewable energy, which lowers the footprint. A few even publish carbon reports to back it up.
From an ethical angle, lab-grown diamonds avoid many of the human rights issues linked to mining operations.
So yes—they can be the more sustainable choice. Just know that “lab-grown” doesn’t always mean “low impact.” It depends on the supplier.
For a deeper dive, the Environmental Impact of Mined vs. Lab-Grown Diamonds report by Trucost (part of S&P Global) is worth a read.
Can I Propose With One? Will People Judge?
More people are saying yes to lab-grown diamonds—and not just for the price. Younger buyers especially care about ethics, sustainability, and value. In Australia, there’s growing acceptance of lab-grown stones in engagement rings and other fine jewellery.
Still, some people have old-school views. If you’re worried about how others might react, remember: most people can’t tell the difference unless you tell them. And even if you do, it’s your choice. What matters is that the ring means something to you and your partner.
Plenty of couples now choose lab-grown diamonds together—openly and proudly.
You’re not alone in making that call.
Final Buying Tips
If you’re ready to buy a lab-grown diamond, here are a few things to keep in mind:
· Always ask for certification. Stick with diamonds graded by trusted labs like IGI or GIA. This confirms the quality and that it’s lab-grown.
· Check the return policy. A good seller should give you time to inspect your diamond and change your mind if needed.
· Understand the warranty. Ask what’s covered—especially for things like repairs, resizing, or damage over time.
· Compare prices, but don’t chase the cheapest. If a deal looks too good, double-check the grading report and clarity details.
· Buy from someone transparent. You should know exactly what you’re getting—no guesswork, no vague promises.
Bonus tip: If you’re buying online, look for high-resolution images or videos of the actual diamond, not just stock photos.