Taking out insurance for anything is, by its nature, a gamble. You may never need to use it, and it can be wasted money. On the other hand, if things do go wrong, then insurance can save you money.
In the case of mobile phones however, it’s surprisingly how few us do insure them. Mobile phones are small, fragile, and in the case of smartphones, extremely expensive and desirable. They are also very easily stolen. But at a time when we’re all trying to cut costs, do you actually need it? Read on to help you decide.
Image source office.microsoft.com
Are You Already Covered?
The first question you need to ask yourself, is, are you already covered? Often, premium bank accounts have phone insurance attached to them and, some home contents insurance includes cover for possessions beyond the home. So always check first to avoid the disaster of being ‘doubly insured.’
Who benefits from Mobile Insurance?
If your phone is over six months old, is a cheap handset on PAYG, or you have no history of loss or damage to your phone, then it probably isn’t worth it. On the other hand, if you have been through more handsets than handbags, have an expensive smart phone you can’t afford to replace, or a long contract, then it’s a good idea to get insured. Be aware however, of the exclusions.
What Does Mobile Phone Insurance Cover?
In most cases, basic cover will protect you against the loss, damage or theft of your phone. However, you should be aware that there are also many exclusions. These are things your phone insurance won’t necessarily cover, and include:
- Theft as a result of leaving your phone unattended or theft without force. Situations such as leaving your phone on a table to go to the bar, or having it taken from your bag or pocket.
- Water Damage Dropping it into a body of water. This includes down the loo!
- Reporting Loss or Theft Delays. Failing to report the loss of your phone to the police or your phone company within 24 hours, mean you can often find yourself unable to claim at all.
- Older Handsets. Often it is hard to take out mobile insurance on phones over six months old.
So as you can see, mobile phone insurance doesn’t supply all the answers. You need to be vigilant, and check the terms and conditions of your insurance policy carefully.
Protecting your Phone
Whether you have insurance or not, it’s better to be cautious about how you use your phone to save money and trouble. Some good tips include:
- Being aware of the people around you when you use your phone – many phones are simply grabbed from the user. Stand against a wall when on the phone to help avoid this.
- Always keep a smart phone in a case or holder
- Always use a security lock
- Download a tracker app – these can help you track your phone in case of theft using geo-locations technology.
- Never store passwords or pin numbers on your phone.
Rob Rudd is an experienced writer for many industries, from science and technology to gardening and home improvements.