Hmm, okay. Theft insurance makes sense. It's an extremely narrow niche, but at least I can see its value within that niche.
It doesn't say it's destroyed, but I think that's the intent of the bit where you crush the sapphire. (Presumably the magic renders the sapphire crushable... I always wondered how you were supposed to just casually crush a gem in your fist. It's a rock, not a freakin' eggshell.) If the sapphire is reusable, the spell gets a lot better.You could have your familiar do the touching. "I was never even close to it!"
note, it does not say the sapphire is destroyed as most spell components are. So.. could you reuse a sapphire after you Mended it?