Replacing a stolen, lost or damaged cellphone can be a big financial setback. Despite this, for many people, cellphone insurance is often a grudge purchase.
There is no doubt that having cellphone insurance is an important way for individuals to protect themselves financially in the event that their cellphone is stolen, lost or damaged beyond repair. If you have a smartphone, which generally can be quite expensive, having cellphone insurance can provide you with the cover you need.
The good news is that most mobile service providers offer cellphone insurance which is often sold as either a stand-alone policy or as part of a personal lines policy. It’s important to compare the various offers available in order to make sure that you get the right type of cellphone insurance for your unique individual needs.
Stand-alone policies generally include an excess, whereas most all-risks policies will be excess-free.
Cover is provided on an individual basis- typically when a cellphone is purchased.
In terms of cellphone insurance, the sum insured is generally based on the replacement value of the phone and can include the cost of a memory card.
Stand-alone policy premiums are based on the value of your phone.
It’s important to keep in mind that cellphone insurance should not be bought based on price alone. You need to compare what the product covers and what is excluded.
Even more important is paying attention to what your cellphone insurance policy says.
An easy way of making sure that you prioritise cellphone insurance is by upgrading your cellphone insurance when you upgrade your phone.
If you are business owner and you have cellphones used for business purposes, you need to make sure that you get cellphone insurance as a way of protecting the business from financial ruin in case the phones are lost, stolen or damaged. This can also help to ensure that you maintain contact with your clients and that you don’t experience any down-time.