Jared Jewelers insurance is a fraud auburn hills, Michigan

i purchased a diamond wedding band 2 years ago from Jared. At the time of purchase the clerk asked if i would like to purchase insurance, she stated in the case that it was stolen it would be replaced.  I said why not its better to protect myself especially since it was expensive for me.  Last July the ring was stolen out of my purse along with credit cards and money.  I called Jared they fwd me to the insurance ppl who told me i needed to fill out a police report and that they would mail forms for me.  I went to the police station and made the report i also filled out their papers and sent in all info they requested.  I get a letter in the mail stating that they do not cover theft but burglary. this to me is absurb.  So since the ring wasnt taken out of my house as in forced entry its not covered.  Now i am stuck paying 100 a month for a ring that we no longer have.  Everyone knows that Jared is a secured loan so the damage to my credit report is very harsh.  I stop paying on the ring about 2 months ago because in the economy i cant afford to pay for something i dont have.  Jared calls me everyday to collect payment and they have no remorse to what has happened.  To me theft and burgulary is the same thing its someone taking your belongings without your permission. I am at my witts end with this and dont know what else to do besides let my credit suffer because of it.