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February 22nd, 2021

Cell phone insurance or warranty? A guide to evaluating protection plans.

Features and benefits of cell phone insurance are different from warranties. Whether you’re thinking about coverage for you or a loved one, or you’re a journalist helping your audience to figure out what’s best for them, we hope this guide provides some clarity.

1. Different device protection plans offer different levels of protection.****

Wireless carriers usually offer both insurance and warranty options.  Cell-phone shoppers can also choose to add “after-market” protection to their phones, typically an extended warranty.  Each product offers different levels of protection and service.  For example, extended warranties do not cover for loss and theft. So, it’s worth asking which product you’re buying, and making sure you get the kind of plan that’s right for you.

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2. There is usually a deductible or service fee, but you can still save money.****

Insurance and Deductibles

Like most insurance products you pay a monthly premium, plus a deductible if you file a claim. Despite deductibles, customers can still save money. Consider the fact that Americans paid an average of $516 for a smartphone last year - even higher for an iPhone 11 with 128 GB ($649) – and, according to Asurion’s data, nearly half of phone claims are filed within the first year. That means that an iPhone 11 customer who files a claim at month 12 can save nearly $246 on the retail cost of a new replacement phone (based on a monthly charge of $17 per month, with a deductible of $199).

Extended Warranty and Service Fees

An extended warranty provides repair or maintenance for a specific period of time, and typically covers electrical and mechanical issues. Some extended warranties include accidental damage from handling (ADH).  Be sure to review the terms and conditions of the program before you purchase to know what is included and to understand when and if service fees will apply when you have an issue. If you are shopping online, view the link to the terms and conditions for more details.  

3. With no insurance you can easily end up paying for two phones at once.****

An important but often overlooked fact is that shoppers who lose or break their phone before they’ve paid off the monthly installments still have to make the remaining payments. Without insurance that means people are left making the remaining payments on the lost or broken phone as well as payments for a new phone. Not a nice thought when you consider that with a high-end phone like an iPhone 12 Pro, at six months a customer could still owe more than $800!

4. Insurance can provide same-day device replacement and cracked screen repair – and even come to you!****

Many Asurion protection plans with the top wireless carriers often provide fast, same-day device replacements and $29 cracked screen repair right to your doorstep. We offer more phone repair options than anyone other protection providers. Based on eligibility, our technicians can come to wherever you are to repair your device from a safe distance inside a mobile repair vehicle; you can get your device repaired at one of 700+ uBreakiFix® by Asurion stores nationwide; or you can visit select carrier stores to get your screen repaired locally by one of our technicians. For device replacement, a technician will deliver it to your doorstep and will also help you set it up. Check your carrier for details and availability.

5. How does repairing a cracked screen work? Is it covered by an extended warranty or insurance?  What is the cost of a cracked screen repair?****

One of the most common breaks with a cell phone is a cracked screen, so you want to be sure that cracked screen repair is not only covered the by the plan you choose, but you also want to look in the process and cost.

Many of Asurion’s plans with the top wireless carriers provide same-day device replacements and $29 cracked screen repair. Asurion has mobile repair vehicles with technicians who visit customers to make repairs, as well as a network of over 600 uBreakiFix stores where people can go to get their phones fixed. There are also Asurion technicians in many carrier stores. Same-day service is available in most markets for most devices, but it’s worth double-checking with your carrier whether this is available to you.

If a customer needs a device replacement, an Asurion technician can deliver it to the doorstep and, if they like, help them set it up too.

6. Tech support to keep every device in your home connected and running smoothly****

From smart lights to gaming consoles, smart TVs to speakers, smart security systems to laptops and tablets, today’s homes are full of connected technology. To help customers with their tech frustrations, most major carriers offer phone insurance that includes expert tech support. Don’t know how to transfer your content from your old phone to your new phone? Can’t control your smart doorbell from your phone? A tech expert might be available through your phone carrier’s protection plan to be on hand to support to you.

7. Are replacement phones covered by a warranty?****

We all know that most new phones come with a 1-year limited warranty against malfunction. But what about the replacement phone you received when you filed a claim? Asurion insurance coverage through your wireless carrier repair will usually enable you to not only replace your phone fast, but also ensure that your replacement phone includes a new warranty that starts the day you receive it.

Consider Insurance If You:

  • Use and rely on your phone for daily tasks and can’t imagine going without a phone for longer than 24 hours.
  • Tend to drop or misplace your phone.
  • Have children who have cell phones.
  • Require fast device repair or replacement as soon as same day or the next business day.
  • Want the convenience of having your repair done or replacement device delivered to wherever you are (home, travel, college, etc.).
  • Do not have the ability to pay full retail cost for a replacement while paying off your old phone (if on a monthly installment plan).
  • Want tech support to help quickly activate a replacement phone on your carrier’s network and transfer your data to your new device.

Consider A Warranty If:

  • You and your family have a strong history of caring for your phones, with no loss or theft.
  • You don’t rely on your phone for daily tasks and don’t need the speed of fast replacement or repair.
  • You don’t mind doing research to find your own replacement phone or repair options.
  • You’re good at saving money and can pay for repair/replacement out of your own savings.
  • You have a tech savvy and DIY mindset to activate a replacement phone yourself and transfer data from your old phone (or the cloud).

Consider No Protection Plan If:

  • Your phone is paid off and you can afford to pay the full retail cost of a new phone if your existing phone is lost, stolen or damaged.
  • You don’t rely on your phone for daily tasks and have the time to research and shop for a replacement/repair if the unexpected happens.
  • You have a tech savvy and DIY mindset to activate a replacement phone yourself and transfer data from your old phone (or the cloud).

Asurion Device Insurance At-A-Glance

Asurion is a leading provider of tech protection and support services available through major wireless carriers and retailers. We administer mobile phone insurance programs for many of the top wireless companies in the U.S.

Our protection plans provide a variety of services depending on the wireless carrier and plan.  Check your wireless carrier for details.

  • Comprehensive Protection: Beyond the damage protection that many device insurers provide, Asurion cell phone insurance provides coverage for lost and stolen devices for complete peace of mind.
  • Fast Repair/Replacement to Fit Your Schedule: Options that meet your needs (as soon as same-day and next-day device replacement, and as soon as same-day screen repair in-store or we come to you).  
  • Access to Premium Tech Help: Asurion is the only mobile insurance to offer one-click access to a tech expert to help resolve nearly any tech issue and also help consumers get the most out of ALL their connected devices, not just an insured device.
  • Services that match your needs: Carrier protection plans start as low as $5 for extended warranty only, up to $19 for bundled protection of insurance + warranty + ongoing expert tech support. Details and prices available from your wireless carrier.
  • Battery replacement.
  • Device setup.
  • Video and Photo storage (with auto-backup of photos, videos, etc.).
  • Anti-virus and malware security.
  • Password protection.

For more information:

Nicole Miller, Asurion PRNicole.miller@asurion.com615.837.5843

Lindsay Whisler, Asurion PRLindsay.whisler@asurion.com615.624.2564

* Features vary depending upon protection plan with your wireless carrier

About Asurion

As the world’s leading tech care company, Asurion eliminates the fears and frustrations associated with technology, to ensure our 300 million customers get the most out of their devices, appliances and connections. We provide insurance, repair, replacement, installation and 24/7 support for everything from cellphones to laptops and household appliances. Our experts are available online, on the phone, at one of our more than 700 stores, or can even come to you.