Insurance/Warranty

[Bic]

Anyone ever use of these methods for insurance & extended warranty:

(1) credit card company coverage. Mine automatically extends warranty for one year beyond the manufacturer's warranty at no charge for any product bought with the card, and includes 90 days of theft and accidental damage.

(2) Square Trade offers deals on extended warranty & insurance (covers accidental damage, $50 deductible, but doesn't cover theft) for $144 for 2 years of coverage ($6 a month).

Cell Phone Insurance Alternative | Cellphone Insurance Alternative | Cell Phone Warranty | Cellphone Warranty | SquareTrade Warranties

 

[MisterEd]

Be careful! Many credit card companies strictly EXCLUDE cell phones in their extended warrranties. Amex does. I called CS and they said it WAS included then I read the actual contract and it is EXcluded.

With Square trade you pay the $144 up front. If the phone is damaged and if you replace it you have to pay $144 AGAIN up front. With the Sprint plan you're continuously covered at only $7 a month. It adds up to $12 more but you can make 4 claims against it per year and not have to pay the full amount up front for the replacement phone. The deductible is $100 though.

Frankly you're better off putting the $144 on the side and using to help defray costs for a replacement if needed. Between the cost of the insurance and deductibles the only one that comes out ahead are the insurance companies. I've had been in the insurance business for many years and these policies are usually not worth it.

 

[lembowski]

Be careful! Many credit card companies strictly EXCLUDE cell phones in their extended warrranties. Amex does. I called CS and they said it WAS included then I read the actual contract and it is EXcluded.

With Square trade you pay the $144 up front. If the phone is damaged and if you replace it you have to pay $144 AGAIN up front. With the Sprint plan you're continuously covered at only $7 a month. It adds up to $12 more but you can make 4 claims against it per year and not have to pay the full amount up front for the replacement phone. The deductible is $100 though.

Frankly you're better off putting the $144 on the side and using to help defray costs for a replacement if needed. Between the cost of the insurance and deductibles the only one that comes out ahead are the insurance companies. I've had been in the insurance business for many years and these policies are usually not worth it.

I work for a Insurance company and have a degree in Insurance. I can understand the sentiment about insurance companies and how they are the only one that gets ahead. But the purpose of insurance in to bring one "whole" again after a accident, catastrophic event, etc.

I pay for phone insurance because spending $100 to get a phone replaced if it was lost, stolen, damaged, etc is a good deal. Yeah if you put the money back and yada yada you may have a easier time stomaching spending $400 for your replacement, but why? Insurance is there for this. Everyone that says insurance is a fraud, just get rid of your home owners and health insurance. Because if you put back $100 a month when something happens you will have enough to cover it. Does that sound like a good idea? No.

 

[Bic]

With Square trade you pay the $144 up front. If the phone is damaged and if you replace it you have to pay $144 AGAIN up front. With the Sprint plan you're continuously covered at only $7 a month. It adds up to $12 more but you can make 4 claims against it per year and not have to pay the full amount up front for the replacement phone. The deductible is $100 though.

Frankly you're better off putting the $144 on the side and using to help defray costs for a replacement if needed. Between the cost of the insurance and deductibles the only one that comes out ahead are the insurance companies. I've had been in the insurance business for many years and these policies are usually not worth it.

thanks for your response. I tend to agree that it's best not to get extended warranties (just as Consumer Reports says). I called Square Trade and they confirmed that if the phone is damaged beyond repair, they reimburse you the full value (up to $599) only once, so with the $50 deductible, it essentially costs you $144 +50= $194 for full replacement only once in 2 years. (However, one replacement in 2 years with Sprint's coverage at $7 a month and $100 deduct= $268, but at least you can replace more than once if need be, so $74 more for extra safety!). But that's getting close to getting a new phone for those of us on Premier status who can get new phones once a year. In short, no insurance/warranty extensions for me.

 

[MisterEd]

I work for a Insurance company and have a degree in Insurance. I can understand the sentiment about insurance companies and how they are the only one that gets ahead. But the purpose of insurance in to bring one "whole" again after a accident, catastrophic event, etc.

I pay for phone insurance because spending $100 to get a phone replaced if it was lost, stolen, damaged, etc is a good deal. Yeah if you put the money back and yada yada you may have a easier time stomaching spending $400 for your replacement, but why? Insurance is there for this. Everyone that says insurance is a fraud, just get rid of your home owners and health insurance. Because if you put back $100 a month when something happens you will have enough to cover it. Does that sound like a good idea? No.

My only "degree in insurance" is that I am 63 years old am CPCU, CLU, ChFC and had been in the industry for over 40 years before I retired. I ran my own agencies (4) and was a certified State Farm reseller. If you are comparing the value (and need) of homeowners insurance, auto insurance and/or health insurance with insuring a $400 cell phone in the same breath you need to go back to insurance school. Whatever school that was.

No offense intended of course.

 

[MisterEd]

thanks for your response. I tend to agree that it's best not to get extended warranties (just as Consumer Reports says). I called Square Trade and they confirmed that if the phone is damaged beyond repair, they reimburse you the full value (up to $599) only once, so with the $50 deductible, it essentially costs you $144 +50= $194 for full replacement only once in 2 years. (However, one replacement in 2 years with Sprint's coverage at $7 a month and $100 deduct= $268, but at least you can replace more than once if need be, so $74 more for extra safety!). But that's getting close to getting a new phone for those of us on Premier status who can get new phones once a year. In short, no insurance/warranty extensions for me.

You got it exactly right ... and you never even went to "insurance school!"

 

[lembowski]

My only "degree in insurance" is that I am 63 years old am CPCU, CLU, ChFC and had been in the industry for over 40 before I retired. I ran my own offices (4) and was a certified State Farm reseller. If you are comparing the value (and need) of homeowners insurance, auto insurance and/or health insurance with insuring a $400 cell phone in the same breath you need to go back to insurance school. Whatever school that was.

No offense intended of course.

Great, we have very similar accreditations. However it took me no where near 63 great knowledgeable years of life to get there. And you worked for State Farm! I get awesome email opportunities from them all the time in my Spam folder to come work for them.

No offense intended of course.

And that school is the IU Kelley Business.

I do understand the difference between the cell phone and the homeowners but it was a point, we all see the threads; "I lost my cell phone and now Sprint wants me to spend how much?" These are the same people that post that they don't believe in buying insurance for their phone, because they keep it in a case and baby it.

I loose my phone at least once a year and it works better for me to just pay a deductible to get my phone back instead of searching craigslist or ebay for the cheapest way to become mobile again. Whatever works for you but the threads will come and they will complain about not securing it on their line.

 

[anish3232]

The best thing about the Sprint $7 insurance plan is it includes Sprint Store repairs. 99% of the time they are unable to work on the phone or fix the phone so you end up with a new replacement phone. Most employees will look at your account and if you do not have the warranty or insurance plan they will tell you to send the phone to the manufacture.

 

[g_b_h]

This seems like the CHEAPEST option out there. I'll be calling my homeowners insurance guy when my phone arrives.

Queercents ? Blog Archive ? How to save money on cell phone insurance

 

[ERDude]

Best part of Sprints TEP is that you only pay the $100 if your phone is lost, stolen or suffered liquid damage, otherwise repair and replacement is free. For my peace of mind it's worth the $84 a year to cover my phone.

 

[Tyler Durden]

Best part of Sprints TEP is that you only pay the $100 if your phone is lost, stolen or suffered liquid damage, otherwise repair and replacement is free. For my peace of mind it's worth the $84 a year to cover my phone.

I agree!

 

[MisterEd]

This seems like the CHEAPEST option out there. I'll be calling my homeowners insurance guy when my phone arrives.

Queercents ? Blog Archive ? How to save money on cell phone insurance

Be careful, in some states making a $400 inland marine claim on your homeowners insurance policy can jack up your rates where you would pay twice that amount in total increases over 3 years. I'd suggest keeping that insurance rider off your homeowners policy. It's cheap to get but in the end it could bite you.

 

[MisterEd]

Great, we have very similar accreditations. However it took me no where near 63 great knowledgeable years of life to get there. And you worked for State Farm! I get awesome email opportunities from them all the time in my Spam folder to come work for them.

No offense intended of course.

And that school is the IU Kelley Business.

I do understand the difference between the cell phone and the homeowners but it was a point, we all see the threads; "I lost my cell phone and now Sprint wants me to spend how much?" These are the same people that post that they don't believe in buying insurance for their phone, because they keep it in a case and baby it.

I loose my phone at least once a year and it works better for me to just pay a deductible to get my phone back instead of searching craigslist or ebay for the cheapest way to become mobile again. Whatever works for you but the threads will come and they will complain about not securing it on their line.

ROTFLMAO, I never "worked for" State Farm, I OWNED 4 State Farm agencies for nearly 25 years until I retired at age 59. Now my kids own them. Believe me, it didn't take me 63 years to "get there."

But back on topic, considering you "lose" a phone at least once a year you definitely are in need of a policy or at least a chain to tie them to your arm. . As you know, generally speaking, most people don't generate that much of a loss for an insurance company and if they do are usually considered a bad risk and frequently are considered uninsureable at the least and suspicious at most. Just the fact that a company will insure a person with that type of loss record shows how profitable that specific type of policy is for them.

 

[lembowski]

ROTFLMAO, I never "worked for" State Farm, I OWNED 4 State Farm agencies for nearly 25 years until I retired at age 59. Now my kids own them. Believe me, it didn't take me 63 years to "get there."

But back on topic, considering you "lose" a phone at least once a year you definitely are in need of a policy or at least a chain to tie them to your arm. . As you know, generally speaking, most people don't generate that much of a loss for an insurance company and if they do are usually considered a bad risk and frequently are considered uninsureable at the least and suspicious at most. Just the fact that a company will insure a person with that type of loss record shows how profitable that specific type of policy is for them.

I also own a skateboard shop here, but know nothing about skateboarding. .....never done it.

Congrats on your long carrier.

 

[thekarens]

Whether you've got a degree in insurance or owned an insurance company doesn't make you any better or worse at knowing whether insurance is a good idea for someone. Everyone has to decide for themselves.

I know personally I will NEVER lose a phone. Never have and I keep an eagle eye on my devices. However, I also know things break. If I could was disciplined enough I'd set the money aside. After all you can always add insurance with Sprint, you just can't use it for 30 days. Since I know I'm not disciplined to do that I go with Sprints insurance.

 

[heberman]

WAfter all you can always add insurance with Sprint, you just can't use it for 30 days. Since I know I'm not disciplined to do that I go with Sprints insurance.

Unless Sprint's rules have recently changed, you can only add insurance to your Sprint phone when you first get it. You can't add it later.

 

[ls3mach]

Unless Sprint's rules have recently changed, you can only add insurance to your Sprint phone when you first get it. You can't add it later.

You can add insurance anytime you activate a phone. Activate your temp phone for a day. Call back and reactivate the broken one and add insurance. It has always been that way, so no it hasn't changed.

 

[MisterEd]

I also own a skateboard shop here, but know nothing about skateboarding. .....never done it.

Congrats on your long carrier.

My carrier (currently) is AT&T. Only been with them a few years but my career has been a lot longer. Sorry, couldn't resist picking on the typo.

The insurance industry is a lot different as you need to be licensed so you have to know at least a little.