Yes, it happened to me. I dropped by smartphone (the original G2) in the water. It stopped charging and went dead on me forever. Even though I had caved and bought insurance, it took me a few days to get over the $130 deductible and the ongoing $8 monthly fee. Ultimately, with 3 smartphones covered by insurance on my current 2-year family plan, I figure I’m ahead, spending about $692 for 6 phones (yes, 3 have already been replaced). But should you consider smartphone insurance?
I spoke to Asurion, the go-to insurer to the four major phone carriers. Odds aren’t good that your smartphone will last 2 years. Approximately 50 percent of its claims are due to loss and theft. Another 47 percent is from damage (water, cracked screen, etc.) while 3 percent is malfunction.
The good news is that there are lots of options today if you don’t want to use your phone provider’s insurer. Several alternative insurers, which I explore in my latest series for TheStreet.com, offer just damage insurance for a set price — as little as $59 a year for an iPhone. Check out the series:
- Insuring Your Smartphone May Be Smart — A look at the stats of owning a smartphone.
- iPhone Peace of Mind Comes at a Price — How much will insurance cost for an iPhone? Here’s a look at several insurers charging, over 2 years plus deductible, $140 to $408.
- Protect Your Smartphone Without Insurance — Get a good case, security apps and other ways to protect your phone without paying for insurance.