Well I would have to say to get insurance. I'm one of those types that NEVER drops my phones. Had the mogul for like 2 years or something, and finally it starting acting up, didn't drop it or anything. The screen started having lines and the display would freeze no matter what, unless I restarted it.
Took it to a sprint place, explained and showed them, and since I was on the insurance, I actually got a NEW mogul the next day, without paying 100 dollars. had little stickers on the IR ports and everything, brand new. I was curious about not paying for anything, but looking at the receipt, it did say 100, then they subtracted it, for some reason. Honestly, you'll never know what's going to happen, someone can bump into you when your holding your phone and knock it out of your hand. Better safe then sorry, and its only 7 bucks extra, still cheaper than other carriers plans, and you have protection at the same time.
Just my 2