Given the cost of replacing a damaged, lost or stolen mobile phone, it’s not surprising that you would want to buy insurance to cover the cost. Unfortunately, with so many insurance deals available, it takes quite a bit of digging around to get the best deal. The problem is knowing what to look for when buying mobile insurance. You want good cover but at a reasonable price, so keep the following points in mind:
Excess charges
The company insuring your phone may require you to pay an excess charge towards the cost of a replacement when making a claim. So, when you find an insurance deal that is affordable, check that the excess charge is reasonable, too. Also check whether it rises on making subsequent claims. Some companies will charge double the excess if you’ve already made a claim within the previous year.
Conditions
There are certain conditions that will be attached to your making a claim. For example, you may need to have previously registered your new iPhone or Galaxy S7. You should also check whether your phone is still insured if you leave it unattended in your car.
Mobile phone insurance providers
There are several types of insurance providers: These include the phones’ network providers, home insurers, banks and independent insurers. Each has its advantages and disadvantages.
- Network Providers – The network provider’s insurance tends to be costly and restrictive, but they normally provide a fast replacement service.
- Independent Insurers – Policies from independent insurers such as Switched On Insurance can also be cheaper than network providers, but you can expect longer delays in getting your phone replaced, and the replacement phone you get back may be a refurbished model.
- Home insurers – Home insurance policies may also include mobile phone insurance, so check your existing policy as your new phone may be covered by it.
- Banks – Banks such as Barclays often offer bank accounts that come with extras designed to entice new customers. Cheap mobile phone insurance is often one of them, so check to see if your bank is offering such a deal. They may not be the best policies around, but they’re worth considering for basic, affordable cover.
Theft and unauthorised calls
With insurance, your phone will be covered if it’s stolen, but if someone steals it and makes long phone calls to the other side of the world, you will be liable for the horrendous call charges involved. Some insurance companies will cover the cost of those charges, but many others won’t. Those that do will insist that you immediately notify your provider to cancel your service and prevent unauthorised calls being made.
Finally, while you can always use one of the many online comparison sites to find the cheapest insurance deal for your mobile phone, you really need to read very carefully the small print of the insurance policy itself. That way, you’ll know exactly what you’re getting and whether it represents good value for money.
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