Charlie Hustle
Member
It's better to have it and never need it instead of needing it and not have it.
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Insurance - worth it?
- Thread starter Nighthawk4
- Start date
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- samsung galaxy s3
I thought there's a limit on how many replacements you can get?
Up to three replacements in a rolling 12 month period. I suppose I should own up to a little poetic license with the word "anytime". That said, I'm not sure it changes my point, much (any?).
Yep. Depends on how much you are willing to pay based on your perceived risk of facing that bigger one-time bill, but that is pretty much the point.
Edit: For what it is worth, this is what is listed as being covered. As mentioned, there are some nuances and potential deductibles for some things (e.g. loss), but for the "Total Equipment Protection", here is what you get:
8 bucks a month and no deductible? or is there a deductible.
If it's no deductible that is tempting, I agree. Especially for the first few months of ownership. Do they make you jump through hoops like providing a copy of the police report if it is stolen, etc? Still hard to believe that you can walk in and say "oops I lost my phone" 3 times a year and they'll just say "awww, here's a new one buddy"
Maybe it's because those aren't SIM phones so they can't be sold on Ebay?
horsecharles
Android Expert
deductible is $50 or 100 and you DO need a copy of a police report.
Tip 1: if you're rooted or otherwise modded...and can't remove this evidence...say stuck in a bootloop n the startup image is an obvious giveaway... it's better to actually physically break the phone so that it can never be physically turned on.
Tip 2: Insurers have their own databases(like landlords, medical, credit bureaus, etc.) that rate/flag/etc. all/everything.
JimmyRayBob
Android Enthusiast
i insure my phones as riders on my homeowners policy. Cost about $18 per year (for $600 coverage). No deductible - covers breakage, water damage, lost, stolen, etc.
On lost or stolen? There is a deductible. I mentioned that earlier.
Seriously, though, if your phone is stolen, you consider a police report "jumping through hoops"? Have you ever made any insurance claim on stolen goods? Any reasonable insurance company will ask that you file (and provide) a police report.
Otherwise, yes, you can walk in and say, "oops, I lost my phone" 3 times a year and they will just say, "awww, here's a new one buddy".
If you think that presents you a great opportunity for "scheming" your carrier, you are clearly wrong. As stated, these insurance policies are sold for profit. If they were routinely getting swindled out of an appreciable amount of money, the policy would change and the cost would go up.
I don't know what is so difficult to understand.
The tip is still certainly valid, but I will say this. Rooting your phone gives your carrier the opportunity to deny a warranty claim, but does not guarantee that they will. With my Evo 3D, something that I flashed clearly effed up my phone. The boot sequence made it clear that it was rooted. I was still able to get it replaced hassle and deductible free.
To your point, though, unrooting prior to service is the best option. Physically breaking it works too, though. However, karma is a bitch, so I'd be a little leery of misrepresenting the truth like that.
That's a good idea....I'm gonna call State Farm and ask about that
horsecharles
Android Expert
Originally Posted by horsecharles
Tip 1: if you're rooted or otherwise modded...and can't remove this evidence...say stuck in a bootloop n the startup image is an obvious giveaway... it's better to actually physically break the phone so that it can never be physically turned on.
Tip 2: Insurers have their own databases(like landlords, medical, credit bureaus, etc.) that rate/flag/etc. all/everything.
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Originally Posted by Hogan773
The tip is still certainly valid, but I will say this. Rooting your phone gives your carrier the opportunity to deny a warranty claim, but does not guarantee that they will. With my Evo 3D, something that I flashed clearly effed up my phone. The boot sequence made it clear that it was rooted. I was still able to get it replaced hassle and deductible free.
To your point, though, unrooting prior to service is the best option. Physically breaking it works too, though. However, karma is a bitch, so I'd be a little leery of misrepresenting the truth like that.[/QUOTE]
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Now guess who originally gave me that advice-- the manager of my local Metro, who doesn't know me from a hole in the wall.
He wants happy customers above all else.
Tip 1: if you're rooted or otherwise modded...and can't remove this evidence...say stuck in a bootloop n the startup image is an obvious giveaway... it's better to actually physically break the phone so that it can never be physically turned on.
Tip 2: Insurers have their own databases(like landlords, medical, credit bureaus, etc.) that rate/flag/etc. all/everything.
___________________________________________________________________________
Originally Posted by Hogan773
The tip is still certainly valid, but I will say this. Rooting your phone gives your carrier the opportunity to deny a warranty claim, but does not guarantee that they will. With my Evo 3D, something that I flashed clearly effed up my phone. The boot sequence made it clear that it was rooted. I was still able to get it replaced hassle and deductible free.
To your point, though, unrooting prior to service is the best option. Physically breaking it works too, though. However, karma is a bitch, so I'd be a little leery of misrepresenting the truth like that.[/QUOTE]
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Now guess who originally gave me that advice-- the manager of my local Metro, who doesn't know me from a hole in the wall.
He wants happy customers above all else.
I bought the $10/month insurance through Best Buy and believe its 100% worth it. Me and my brother both got the Evo 4g when it came out, both of us never having a nice phone before decided we should get the insurance. My brothers phones charger port failed two seperate times, and once he dropped it in the dogs water bowl. All three times Best Buy gave him a brand new looking refurbished phone. I dropped my phone about a month before my insurance expired, had a small crack in the screen. Best Buy gave me a replacement no questions asked. Sure we spent $240 each in insurance over two years but that beats paying full price for a replacement once yours breaks.
And I disagree with the guy who said if you dont have insurance you will be more careful with your phone. I find that will insurance I have peace of mind knowing if something happens to the phone it will be covered. Without insurance I feel one would try and be so careful with their phone it would end up having the opposite effect.
Oh and btw, if you ever get a phone replaced at Best Buy PLEASE take out the sd card you have on it. My brothers was "Lost" by best buy TWICE. Other than that no complaints.
I recently got the S3 and got the insurance again through Best Buy.
And I disagree with the guy who said if you dont have insurance you will be more careful with your phone. I find that will insurance I have peace of mind knowing if something happens to the phone it will be covered. Without insurance I feel one would try and be so careful with their phone it would end up having the opposite effect.
Oh and btw, if you ever get a phone replaced at Best Buy PLEASE take out the sd card you have on it. My brothers was "Lost" by best buy TWICE. Other than that no complaints.
I recently got the S3 and got the insurance again through Best Buy.
And honestly, I think that describes the majority of management. Many will disagree, but between my experiences as a consumer and the time I spent in retail (both ground level and management), managers tend to realize that spending a few bucks keeping a customer is better than saving a few bucks and losing them.
It is the lower level employees, that don't feel a vested interest in the success of the store and/or company, that are more likely to take some sort of pleasure in turning away customers.
Plead your case to an actual decision-maker. More times than not, assuming you are being fairly reasonable in your request, they will side with you.
There is no one and only correct answer to insure or not, it's based on each individuals risk tolerence and/or financial capabilility to assume the risk. If the personal expense replacing your phone would affect your lifestyle then insurance is the way to go, if not self insuring deserves consideration.
Everyone's individual circumstance is different, one size does not fit all.
Everyone's individual circumstance is different, one size does not fit all.
Doit2it
Android Expert
As someone who just had to file an insurance claim less than 48 hours ago, I say "YES, it's worth it!" I've had the Asurion Wireless Phone Protection coverage ($5.18 / month) since I got my Droid X about 28 months ago. I've never had to file a claim until this week. I still come out ahead thou.
New S3 32Gb full retail......$649.00
Insurance cost to date......$244.04
$5.18/m for 28 months + $99.00 deductible
Now unless you never file a claim or don't file a claim for 8 years 10 months (point where $99 + $5.18/m exceeds $649) you will always come out ahead. Even then, the piece of mind is worth the $5.18/m.
New S3 32Gb full retail......$649.00
Insurance cost to date......$244.04
$5.18/m for 28 months + $99.00 deductible
Now unless you never file a claim or don't file a claim for 8 years 10 months (point where $99 + $5.18/m exceeds $649) you will always come out ahead. Even then, the piece of mind is worth the $5.18/m.
Johnny Cakes
Android Enthusiast
I think your math is a little fuzzy. First, you will not be getting a "New S3." You will be getting a reconditioned model, which they are permitted to call new. No insurance plan uses an absolutely new phone. When they say "new" they mean "new from the factory after reconditioning."
If you didn't have insurance, you wouldn't pay full retail. You would go to eBay and purchase a factory reconditioned phone or "like new" phone. Take a look at "completed listings" and these sell for $350 to $400 (with good ESN number).
Now the insurance math works like this:
Insurance cost to date $244.04
Deductible $99.00
Out of pocket: $343.04
So you saved about seven bucks on a $350 phone. But for every person who saves seven bucks, there are 100 who never lose their phone in the first place, and for them the insurance payment yields no monetary return.
The point where the $350 cost of replacement exceeds the insurance cost ($99 + $5.18/m) is four years. If you think you will lose your phone every four years, repeatedly, for the rest of your life than you would merely break even on insurance. If not, then its a suckers bet from a statistical point of view.
Insurance is great if replacing the item immediately would cause financial hardship. That's why insurance on a car makes sense. Most people can't just whip out their VISA card and replace their car. But unless money is really tight, absorbing a $350 hit is not going to send you to bankruptcy.
P.S. The math tips even more towards not buying insurance as the phone gets older and the replacement cost goes down. In a couple of years you are going to be able to pick up a factory reconditioned S3 for less than half of the current rate of $350.
horsecharles
Android Expert
Math alone, even IF correct, isn't always the sole answer.
The more time passes, the more this inadequate insurance gets exposed...useful short term only.
Actually the math should be utilized in a different manner-percentage wise compared to other coverages...or even as ROI.
It's not full replacement value, or even the equivalent in cash...nor is there a no-deductible option.
Worse, as already mentioned, the replacement is seldom a new model.
Plus, the more time passes, the more chances that model is no longer in stock-whereby one often gets a lesser model (can get lucky and get a better one, but it's up to the carrier-no guarantee)...
And, still worst of all, a year or two later-it's very unlikely one would want the same model with its now dated specs...who wants to pay deductible in exchange for a refurbished, dated-spec phone or lesser model?
Anyway odds are that way before then most will have already upgraded models.
This onerous insurance model seems only attractive initially until better model(s) which interest one get released, at which point one figures: so what if I lose it, I'll apply the deductible towards the new model I'm coveting.
bearballz
Well-Known Member
Well here's my take on it. I never believed in insurance on one's phone. It's waste of money and are you ever going to really need it? Besides I always take care of my phone. Plus periodicals like Consumer Reports always recommend not getting it for pretty much the same reasons I stated above.
Well last November I dropped my Evo 4G. It had a case on it but the drop cracked the glass, it still worked but it was just an eyesore.
Fast forward to February of this year and my sync/charger jack started acting up. It wouldn't charge unless I wrapped my cable around my phone. I went to Sprint and they pretty much told me I was SOL unless I buy a new phone at list price.
Luckily my early upgrade period was this past June so I was able to get a new phone. But this time around I got the BB Black Tie protection plan which is $9-$10 a month and covers pretty much everything except theft.
I guess my reasons for getting insurance is this:
1) You are locked into a two year contract, so unless you have a lot of disposable income paying for a new phone is going to be expensive.
2) Myself, I got rid of my landline several years ago so my mobile phone is my primary device for calls. If anything happens to it I know I can get it repaired or replaced rather quickly.
3) This is a device you're going to have with you everyday, all day 365 days a year. This an appliance rather than a gadget now, and a very expensive one at that.
4) You pay insurance on your car, home or apartment in case of an accident, fire, natural disaster, theft etc.. You may never use it but it gives you piece of mind in the case anything happens to your home or car, you'll be covered.
So while their are a lot of people that don't believe in paying for insurance for their mobile phone, I have it for piece of mind now. Plus let's face it the SIII isn't exactly built like a tank so maybe $9-$10 a month isn't such a bad deal after all. In 2014 I may drop it since I'll be in my upgrade year but at least through 2013 I'll probably keep it.
Well last November I dropped my Evo 4G. It had a case on it but the drop cracked the glass, it still worked but it was just an eyesore.
Fast forward to February of this year and my sync/charger jack started acting up. It wouldn't charge unless I wrapped my cable around my phone. I went to Sprint and they pretty much told me I was SOL unless I buy a new phone at list price.
Luckily my early upgrade period was this past June so I was able to get a new phone. But this time around I got the BB Black Tie protection plan which is $9-$10 a month and covers pretty much everything except theft.
I guess my reasons for getting insurance is this:
1) You are locked into a two year contract, so unless you have a lot of disposable income paying for a new phone is going to be expensive.
2) Myself, I got rid of my landline several years ago so my mobile phone is my primary device for calls. If anything happens to it I know I can get it repaired or replaced rather quickly.
3) This is a device you're going to have with you everyday, all day 365 days a year. This an appliance rather than a gadget now, and a very expensive one at that.
4) You pay insurance on your car, home or apartment in case of an accident, fire, natural disaster, theft etc.. You may never use it but it gives you piece of mind in the case anything happens to your home or car, you'll be covered.
So while their are a lot of people that don't believe in paying for insurance for their mobile phone, I have it for piece of mind now. Plus let's face it the SIII isn't exactly built like a tank so maybe $9-$10 a month isn't such a bad deal after all. In 2014 I may drop it since I'll be in my upgrade year but at least through 2013 I'll probably keep it.
Doit2it
Android Expert
Yes, but I guess my case was the exception to the rule. I got a new, in box S3 with all accessories and even a battery sealed in the plastic bag. Most likely because the phone is so new and they don't have refub stock built up. But you are correct, that's not usually the case.
Now your math is fuzzy. I had already added the insurance cost plus deductible to get the $244 ($5.18*28+$99=$244). So you'd save $106 on a $350 used phone. Still coming out ahead. If I hadn't had insurance on the Droid X and just started with the S3 for 3 months, my total out of pocket would be $114.54. That's shows the 'insurance over an extended period' argument becomes valid, which I agree with. I'm just glad I had mine this week.
Hustletron
Well-Known Member
Just wanted to chime in and say great discussion! I agree with most especially bvbull, I carry the $8/month insurance on my phone for the same peace of mind as I've broke a few phones in my day by my own means or another and hated having to search craigslist for a decent condition, decently priced phone, then track the person down, set up a time and day and place to meet, hope the phone is as they said it was, hope its not stolen, hope the ESN is good, etc etc.
It's just too much of a hassle and I've learned my lesson. I can afford the $650 price tag of a brand new unsubsidized phone but I don't feel that's a wise investment when I can just pay the $8/month to get it replaced, then factor in all the conveniences bvbull mentioned and the inconveniences I mentioned that I would have and not have respectively, it's a no brainer for me. And I'm still paying less than I was with VZW and I have insurance and a better phone.
It's just too much of a hassle and I've learned my lesson. I can afford the $650 price tag of a brand new unsubsidized phone but I don't feel that's a wise investment when I can just pay the $8/month to get it replaced, then factor in all the conveniences bvbull mentioned and the inconveniences I mentioned that I would have and not have respectively, it's a no brainer for me. And I'm still paying less than I was with VZW and I have insurance and a better phone.
The most financially savvy people I know buy insurance only for those things they could not afford to replace (without going into debt for the replacement).
Unless you're among the careless or clumsy, if, every time you're offered a chance to buy insurance for a consumer product you put that money into savings or investment, instead, you'll be money way ahead. My mad friend Noah is more than $5,000 to the good after 20 years of being self-insured on consumer products.
THE W
Android Expert
I can certainly understand someone covering themselves just in case they make another costly mistake. These phones are expensive.