Hello Sophisticated Spenders!
I am a terrible person when it comes to electronics. I’ve lost at least 2 iPhones. I lost an iPad mini. And shattered several screens.
But I also do something else that’s crazy-I don’t carry cell phone insurance. Here’s why:
1. Cost: You will shell out $7-$10 a month on insurance. So you are paying almost $200 bucks to insure your phone during your 2 year contract period.
2. Deductible: Those insurance plans also force you to pay a deductible if something happens to your phone. There goes another $50-$100!
3. The Replacement: Often times you will receive a refurbished replacement phone (which happens to be someone else’s broken phone that was “fixed”).
4. Technology: By the time your phone is replaced (and you’ve shelled out almost $250 in insurance and deductible costs), your phone is officially a dinosaur and you’d rather have something new anyway (hello iPhone 36).
Instead of having cell phone insurance, here are a few other options:
1. Call your carrier! Thanks to Facebook, I now know that AT&T phones have a 1 year free warranty. I cracked the lens on my camera. I called customer service and was given 2 options: Go into the nearest Device Service Center where they will fix (and most likely replace) my phone. Or I can wait the 4-6 business days it will take them to replace my phone. I decided to make an appointment at the Service Center. My appointment is later today so I will write an update to the story.
2. Insurance! Call your insurance company and see if they offer insurance for your devices. They normally just write a check instead of fumbling around with repairing and replacing your items. And there is normally no deductible.
3: Do nothing! I have been cell phone insurance-less for years and I don’t feel like I’ve missed out on anything. I’m generally not a fan of paying the extra money for insurance that I probably won’t use. And the customer service is never hassle free when trying to use said insurance.
What do you think? Am I crazy for not carrying cell phone insurance? Do you have it? Do you think it’s a great value? What about the customer service?
I’d love to hear your experiences in the comments below?