In most cases, cellphones are the most expensive items that individuals carry on them on a daily basis. If something untoward was to happen to your cellphone, not only does it cause inconvenience but it can also be expensive to rectify. While a cellphone warranty will cover your phone in a handful of circumstances, it does not protect you against every eventuality. For example, a warranty will not reimburse you if your phone is stolen or you accidently damage it. Therefore, it is a wise idea to consider taking out cellphone insurance.
Cellphone Insurance Companies
In the U.S. the most popular way to purchase cellphone insurance is through your wireless provider. Usually your carrier will add your insurance premium to your monthly bill, making it easier to manage.
However, there are a number of non-carrier insurance companies out there. One of the most popular and affordable options is SquareTrade. They offer a special discount if you pay for the contract upfront and their deductibles are around $99. While SquareTrade will cover most eventualities, drops and spills included, their policies will not pay out should your phone become lost or stolen.
Things to Look Out For
Before comparing the various cellphone insurance options available, make sure that your cellphone is not protected elsewhere. For example, some homeowner insurance policies cover cellphones and laptops. There is no point paying for the same cover twice!
Think about how much you would like your deductible to be. If you want to save money on your monthly premiums you can opt to take a higher deductible.
Look out for multi-device discounts. Some providers of cellphone insurance will offer you a discount if you take out multiple policies with them.
It is especially important that you are clear on what the policy does and does not cover. This will avoid any nasty surprises later on. If you have any queries or need further clarification, be sure to contact a sales advisor.
Be wary of disreputable insurance companies. A quick web search will return a number of results which boast no deductibles and ridiculously cheap premiums. However, when you actually look at the fine print, more often than not, there are hidden fees. Indeed, in lieu of a deductible some companies impose an ‘administrative fee’ of up to $150.