Do You Need To Get Protection For Your New Smartphone?

Protection Plan Selection

Selecting the ideal smartphone protection plan can be quite dicey. However, experts note that one thing everyone should bear in mind when selecting is the individual’s habits. According to a personal finance expert, Kelsey Sheehy, consider if you have small kids and if you are accident prone. If your answers to those questions are in the affirmative, then it might be advisable to get smartphone insurance.

One thing everyone should bear in mind when selecting a protection plan for the smartphone is the individual’s habits

A Consumer Reports survey found that 81 percent of those who have young kids with a smartphone had lost a minimum of one device in the last two years. Another thing to put into consideration is the particular device. If it is any of Samsung or Apple flagship models, a protection or insurance plan might be a good idea as a result of how much it cost to get the device in the first place. However, for those who buy low-end smartphones, Chris Raymond said they might not need to get the phone insured.

Available Plans And Cost

Basically, there are three different smartphone protection or insurance plans. There is a warranty plan that is offered by some manufacturers like Samsung and Apple. Also, there are warranty plans offered by some mobile carriers such as Verizon and AT & T, and there are third-party plans from some companies such as SquareTrade.

Warranty plan offered by some mobile carriers such as Verizon is one insurance plan you can opt for

Typically, the plans the wireless carrier administer are by other companies such as Assurant AIZ and Asurion. Looking at things from the cost perspective, some plans charge the users monthly although it is possible to cancel whenever they like. There are also some plans that the consumers can make payments for fully upfront for a particular duration of coverage.

The wireless phone protection offered by the mobile carriers start from as little as $3 monthly for instance from Verizon. The cost increases based on the actual amount of coverage the consumer gets or the kind of device in question. The plans are also charged per month.

Third-party insurers like Geek Squad and SquareTrade also have protection plans starting from $8.99 monthly, and the cost of that increases based on the kind of device. Manufacturers like Samsung and Apple on the other hand charge just one flat rate to cover for the protection for a particular duration and that is somewhere between $99 and can be up to $269 at the highest.

That depends on the coverage as well as the device. All the insurance plans are accompanied with deductibles that are expected to be paid, and even the repairs would be covered. That can be between $19 and $250 on. The highest, and that also depends on the phone model. To determine the actual value of your plan, Raymond recommends that consumers should compare with how much it costs for un-insured repairs with how much the plan costs. He said it would help a person get a good idea whether or not the insurance is worth it.

What Do The Plans Cover

Malfunctions that are out-of-warranty as well as accidental damage are covered by the insurance plans. Like any other insurance plan, the consumers are expected to file their claims and also have the claims approved by the respective insurer before they can get compensation.

Malfunctions that are out-of-warranty as well as accidental damage is covered by the insurance plans

A lot of providers including SquareTrade and Asurion mobile carrier plans have same-day services available for light repairs like screen replacement in the primary major cities for as low as $25.  However, there are limitations on some plans even as to what they ordinarily cover. For example, plans are covering just 2 or 3 cases of accidental damage in one year. There are plans limiting how many times the user can replace the battery of their devices. Typically, deliberate damage isn’t covered.

Device Replacement

If the user wants to replace a device that has been damaged beyond repair, the course of action of plan varies. While others provide the money for getting a new device, others give a device in replacement. When it’s a replacement device, it’s more often than not a refurbished model and it is usually not the exact mode originally owned by the consumer.

One other area that smartphone warranty plan vary is device loss or theft. For instance, SquareTrade doesn’t cover such events, and Siciliano said the reason is that loss and theft are not as common as accidental damage, but they cost more. SquareTrade doesn’t cover that to ensure that the cost of coverage isn’t so high. There are plans like AppleCare that charge the consumers more if they want coverage for loss or theft.