Cellphones are a necessity these days. You use it to stay connected with your friends and family, take photos, access essential documents, and perform banking transactions. But what if you lose the phone accidentally? You will need to spend a lot on another phone. Custom Insurance suggests that you buy a cellphone insurance policy so that you don’t have to spend so much. The policy will cover its replacement cost and provide compensation in case of repairs.
Facts about cellphone insurance
You may not come across many people who have cellphone insurance in South Africa. That’s because people underestimate this type of insurance policy. You can’t imagine how relieved you will feel when you get handsome compensation from the insurance company after losing or damaging your expensive mobile phone. But before you choose a policy, here are a few facts that you should keep in mind about mobile phone insurance:
1. The insurance deductible may be equal to the amount you pay for your phone
Suppose you lease the latest iPhone for around $42 per month for 18 months. We provide you with a list of companies and their rates, according to which you choose a policy that costs $17 per month. The phone works smoothly for four months, but you accidentally drop it from your hand, and it breaks. Your insurance policy deductible will be $275.
2. There is no compulsion to buy insurance from your carrier
You usually buy mobile phones from wireless carriers. However, they are not in charge of selling cellphone insurance policies. Instead, they rely on third-party carriers. Sometimes, these carriers don’t live up to their reputation. They end up providing bad claims experience. Therefore, it’s wise to shift to a different service provider. And it’s not necessary to stick to a specific carrier. Allow us to shortlist a few insurance companies who are willing to provide coverage for repair against defects and damages at nearly a fraction of the cost that carriers usually charge.
3. You may not have control over cellphone replacement
Your insurance company will try to provide the exact replacement of your original phone. This means it will be the same make and model. But sometimes it’s not possible to find the same model as your phone. You may receive a new phone whose price is the same as that of your previous mobile phone. Insurance companies even go through new and refurbished phones to ensure they can provide the exact replacement.
4. Go through the capping details carefully.
Most cellphone insurance providers in South Africa cap your claims to two replacements in one year. This is a trick to make careless users aware of handling their phones properly. If you are prone to dropping phones, having a cellphone insurance policy is a no-brainer. But make sure you don’t cross the capping limit. Otherwise, the insurance company may not provide compensation and would drop you from the policy.
Custom Insurance is a hub for all types of insurance policies in South Africa. Send us an email or call us at [phone] to know your average cellphone insurance premium today.
