Do I dare go without cell phone insurance?
Cell phone insurance is often seen as an unnecessary grudge spend… but are we aware of the costs involved when our life line is damaged or stolen?
A few examples of costs:
- The LG G2 Smartphone has a replacement cost is approximately R6899
- iPhone 5 S 32GB has a replacement phone cost of approximately R15 099
- Nokia Lumia 1020 has a replacement phone cost of approximately R9149
- BlackBerry Q10 has a replacement phone cost of approximately R5769
- Samsung S3 cracked screen replacement will cost you approximately R2000 and up to 5 working days without your device
With comprehensive insurance the above costs are eliminated, although you may find that for the duration of your contract you have no problems with your device in which case the insurance cost may feel like a complete waste, but should something happen to your device you will be grateful especially if you look at the replacement costs.
It was noted that approximately 249 911 phones were reported stolen in South Africa over the past two years, and this number has escalated with the ever increasing number of users joining the cellular user world.
Crime is not the only concern when it comes to the safety of our devices; Top 5 Smartphone Accident scenarios:
- 30% fell out of my hand
- 18% immersed into a liquid
- 13% fell out of my lap
- 11% knocked off a table
- 9% liquid spilled onto it
When it comes to cell phone insurance each individual needs to access their own situation. Are you in a position to comfortable pay the estimated R15 099 to replace your iPhone 5 in which case the insurance may be wasted or are you like most South Africans tightening your belt and not so flush with cash?
Are you generally hard on your phone, does your lifestyle dictate accidents may happen i.e. do you mountain bike, have you got small children who love your phone almost as much as you do, is your job out on a construction site, or are you a little clumsy? From personal experience in our household in the space of less than a year we have had to replace 3 cell phone screens at a cost of just over R6000, we definitely need to have comprehensive insurance on our phones.
When upgrading your phone or taking out a new contract ask the questions, does your package include any cover, what are the manufacturer warranties? There are deals available which will give you free screen replacements, what else is on offer?
The question remains… to insure or not to insure, where it should be “What’s the best, cost-effective option?” Adding electronic equipment to your contents insurance could save you lots of money and ensure comprehensive cover.
One of our consultants would be happy to guide you through contents insurance options.