Cell phone insurance covers mundane problems as well as more serious ones. A slip of the hand that drops a phone into the toilet and instances where a phone are stolen is all covered by this plan. It costs a little extra to insure the phone, but in most cases it's well worth the additional cost.
Types
Cell phone insurance is provided not by the cell phone provider, but by a third-party company. This company typically has a deal in place with providers to cover the phones they sell. However, there is another option for some users. They can get renter's insurance or homeowner's insurance that covers their cell phone when it's in their home or apartment. If their home is broken into and the cell phone stolen, it's covered under their homeowner's or renter's insurance.
Time Frame
Cell phone insurance is available when an individual first purchases a new phone. At the time, the provider asks if the individual would like to add insurance to her policy. She actually has a set period of time to make this decision and doesn't need to decide when she buys the phone. The amount of time varies from provider to provider, but most give shoppers at least two weeks to make the decision. Other companies allow the user to wait up to a month before adding insurance to her plan.
Function
Cell phone insurance protects the owner against theft, damage and loss. The owner pays a small amount each month on top of his monthly bill from the provider. When the phone is lost or stolen, he can call the insurance company and file a claim. The same applies to situations where the phone is damaged. The individual makes a payment known as a deductible when he files a claim. The company then sends a replacement phone.
Considerations
When customers read the fine print on the insurance agreement, they'll notice that it says the individual will be issued a new phone similar to their own model if theirs isn't available. That means that even if a new phone arrives, it may not be the same model as the one lost or damaged. In addition, the insurance provider can give the individual a refurbished or used model as opposed to a brand new phone. This is all listed in the terms of service.
Warning
While cell phone insurance does protect the cell phone, it's not a completely free service even after the monthly payments. Individuals are expected to pay a fairly high deductible, and sometimes this deductible is more than the cost of a replacement phone. Customers have also complained that it took too long to get a replacement phone issued once they lodged their complaint with the insurance provider. It's at the discretion of the provider as to when the new phone is issued.
Tags: phone insurance, Cell phone insurance, replacement phone, Cell phone, Cell phone, cell phone, cell phone
