Tech Tips

5 Cellphone Insurance Myths Debunked

Upgrading your cellphone or getting a new tablet? This can be an exciting time, no doubt you’re eager to download your favorite apps and personalize your new device with new accessories.

Then the sales representative asks “Do you want the handset protection?” Confused on what to do, you may try to remember what you have heard about cellphone insurance. Don’t get hung up on these top 5 misconceptions.

1. Insurance is a rip-off

People with cellphone insurance are sometimes surprised that they have to pay a deductible when they file a claim. What they don’t realize is that the amazing deal you received on that new device (you know, $99 for an iPhone 5 when you renew your contract) was just that- a deal. Deals like that are only available when you start a new contract or upgrade your phone, and most wireless customers are only eligible to upgrade every few years. The price of a deductible is much less than the full retail price of the device, which can be over $750 for the most popular phones.

2. If you are careful and have a good case you don’t need it

A protective (and stylish) case is recommended. It can prevent damage to your phone from drops and scrapes, but a case can’t prevent your phone from being lost or stolen. A waterproof case may keep your phone dry at the bottom of a lake, if you can find it. Your industrial case may protect your screen if its dropped, but what good will that do you if someone walks off with it?

3. Filing an insurance claim is difficult and time consuming

In the event your phone is lost, stolen or damaged, Asurion makes it easy to get your new phone fast. You can file your claim online or by phone any time day or night. In fact, Asurion sends most of our shipments out for next day delivery.

4. You can always get your phone fixed if it breaks

There are many options for device repairs. Most will void the warranty on your phone so if anything else happens to your device the manufacturer is off the hook and you’re left with the bill. Plus, repairs won’t help you much if your phone is lost or stolen—something that happens to over one-third of phones.

5. Frugal people don’t get the insurance

On the contrary, people who know how to save money know cellphone insurance is a smart buy. Many times there are other valuable features included with the monthly premium in addition to insurance like virus protection, phone location apps and tech support.

In most cases, insurance can only be added within days of activating the phone. If you didn’t get handset protection, check with your wireless carrier. You might still be able to add it, or even be lucky enough to have an open enrollment period.