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Should You Have Insurance For Cell Phones?

To most of us, our cell phones are an extension of our very being. They’re also an expensive device that is used often in a multitude of environments, which means that accidents can happen. We use them for work, relaxation, childcare, human connection, learning and so many other purposes that the idea of losing or breaking one gives us anxiety.

Maybe you drop it in the pool, or it falls out of your pocket and the screen gets cracked - a likely occurrence set to take place at least once in your life. If you have smartphone insurance, however, this is little more than a mild inconvenience. If you don’t it’s going to be a difficult and expensive exercise to repair or replace.


Most cell carriers will offer you insurance as part of your phone package - but what you might not know is that there are other affordable policy options out there that will offer you the same for less. Here is what you need to know about getting the best cell phone insurance:


Try To Self-Insure


If you have the funds available, it’s always better to try and self-insure your cell phone using your own money. If you can set aside the money for the cost of a new phone, for example, then you have effectively insured yourself in case of any major damages to your smartphone.


The problem is, of course, that many of us do not have the type of funds to put this money aside indefinitely. A big unexpected charge like the cost of a new phone is enough to cause unnecessary stress.


Add Your Phone To Your Home Insurance Policy


Some insurance companies allow you to add your cell phone to the list of general contents in your home, making it cheaper to include your phone here than to get separate coverage.


You don’t actually have to purchase insurance directly from your carrier. Working with your existing home insurance policy or taking out a policy from an insurer of your choice is likely to come at a lower cost.


With insurance offered by the carrier, they make use of a generalized risk profile instead of underwriting the policy based on your personal risk level. This means that you, who might have a small crack on your screen, will pay the same amount as someone who drops their phone in the toilet every month. That hardly seems fair!


Insure Based On Replacement Value


Here’s a key tip if you’re working on getting cell phone insurance - make sure you base the insurance amount on the replacement value, not just the value of a basic repair.


You’ll also need to keep in mind that insurance is centered around the value of the device today, so when you get a replacement, it will be similar if not the same to the version you already had.


Be Aware Of Exclusions


Exclusions refer to things or types of damage that won’t be covered by your cell phone insurance policy.


You’ll typically be covered for things like accidental damage, or some type of loss such as in the case of theft. But what might not be covered includes:


  • General daily wear and tear including superficial scratches

  • Electronic failures such as issues related to the battery or internal circuitry

  • Issues caused by software problems or viruses

  • Damage or loss due to negligence

  • Loss or damage caused by a manufacturing defect


It’s recommended that you spend time familiarizing yourself with the list of exclusions before you try to make an insurance claim.


Choosing The Right Coverage


Choosing the right insurance carrier for your cell phone is key to protecting one of the most important devices we use in our life. That means taking the time to do the due diligence and finding the best insurance policy for your specific risk profile.


You deserve to know that you have the protection you need. Not based on some general consumer insurance profile, but based on your exact details.


With Richard Dean Insurance, you can get personalized insurance coverage you can trust. Providing coverage for everything from home and auto insurance to life, personal umbrella policies, and more, we pride ourselves on putting our clients and our staff first.


If you’re looking for insurance for your cell phone, your home, your car, or just about anything else in the Sarasota area, contact Richard Dean Insurance at (941) 999-3131 to get started.


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