Is Cell Phone Insurance For You?

Cell Phones, nowadays are become ubiquitous and very important to us. The purpose of our cell phones have spread its wings beyond just communication. We play games, check our mails, check reviews before going to any place. Basically, we need cell phones for almost everything. However, along with their impressive functionality, smartphones come with a higher price tag. We tend to spend a $200 to $ 700 on purchasing high end phones. But the question whether you need a cell phone insurance is a matter to consider. Unfortunately, you may leave your cell phone behind, or may drop in the toilet or on the floor. To cover such circumstances, cell phone insurance is a matter to consider.

So should you get phone insurance or not? This is a difficult question to answer, because the answer is highly dependent on the individual. Here are some reasons to choose Phone Insurance:

  • You are an accident-prone and seem to drop your phone on a more frequent basis than normal, insurance really is worth the extra money. However, for everyone else it really is a tradeoff.
  • You have an expensive smartphone and/or you’re locked into a long-term contract.
  • You rely on your mobile phone and would need an instant replacement if it was lost, stolen or damaged. (Bear in mind that you’d need to choose a policy offering a rapid replacement service – not all of them do.)
  • If your phone is lost or stolen, a replacement phone will be delivered to you within 1-2 business days of your claim being approved.
  • Avoid paying the full cost of a new mobile phone.
  • You couldn’t afford to replace the handset and you wouldn’t want to downgrade to a cheaper model.
  • You have a history of lost or broken phones.

One of the big drawbacks about purchasing cell phone insurance is that you won’t receive a new phone if your claim is approved, and your old device is beyond repair. Instead, you’ll be sent a ‘refurbished’, pre-owned device that may not even be the same model as your previous phone.

What insurance covers (usually):

  • Accidental damage including drops, cracks, liquid spills, liquid submersion, any damage caused by accident.
  • Mechanical and electronic failures, if your manufacturer’s warranty has expired and the failure would have been covered under this warranty.
  • Loss or theft of your phone.

Those who misplace their smartphones regularly would fare better with a cellular carrier’s plan. Depending on the type of smartphone user you are, mobile phone insurance could save you hundreds of dollars in the long run, while giving you the peace of mind of knowing that you’re covered no matter what happens to your device.