Insurance for the S3 or skip?

[jericko]

I am getting ready to upgrade from my OG Evo to the new S3, and Sprint said my insurance will raise from $8 to $11 and the deductible will go from $100 to $150. So for my wife and I, we will be paying $22 per month in insurance combined. Maybe its better to drop and self-insure. What do others think and is the Samsung S3 known to be easy to break?

 

[SUroot]

Dropping it can break it, water, stolen. Insurance is a must nowadays. Whether its with your carrier or not, whatever - but get some, somehow

 

[thaKing]

We got insurance on ours, and here's what the sales rep suggested. Get the insurance for about 6 months. During the first 6 months, if you need to replace the phone, the phone is still full price without insurance. With insurance, you only pay the deductible. After 6 months or so on the market, the price of the phones go down. Instead of paying $600 without insurance, full price is now like $200, roughly. Since the deductible is $150, the difference is only $50, if you drop insurance.

Hope that made sense.

 

[NYYFan]

I've never had ANYTHING happen to any of my smartphones in the 6 years or so that I've owned them. When I bought my Galaxy I decided I'd get the insurance just because I have a kid running around now (who's already gotten a hold of my wife's phone...). Two days after I got my Galaxy, I jumped in a pool with it in my pocket... Yes, get the insurance.

 

[chamba]

Since the deductible is $150, the difference is only $50, if you drop insurance.

Hope that made sense.

was it really that high? i remember it being something like 80 for a smart phone maybe it has changed...

but yes insurance is a must you could be lucky and your phone could last you 2 plus years with no problems ...(ya my Droid X still lives no isues) but in the past i had phones act up on me within weeks of getting it.

 

[thaKing]

was it really that high? i remember it being something like 80 for a smart phone maybe it has changed...

but yes insurance is a must you could be lucky and your phone could last you 2 plus years with no problems ...(ya my Droid X still lives no isues) but in the past i had phones act up on me within weeks of getting it.

I believe your deductible depends on your carrier, and OP said his is $150.

 

[Wisheezy]

Depends if you're dopey. I personally take very good care of my items and wouldn't put in the washine machine, jump in a pool or anything. At most I can see myself dropping it but nothing more so not worth me getting insurance i'd just get screen replaced if that ever did happen, which I doubt.


So if you're a careful person then no, insurance is so expensive if you know how to take care of your phone..

 

[BravoGolfTango]

Of course get the insurance

 

[SUroot]

Depends if you're dopey. I personally take very good care of my items and wouldn't put in the washine machine, jump in a pool or anything. At most I can see myself dropping it but nothing more so not worth me getting insurance i'd just get screen replaced if that ever did happen, which I doubt.


So if you're a careful person then no, insurance is so expensive if you know how to take care of your phone..

Even the least dopey people can get robbed.

Sure, if you pay insurance and don't use it, it seems expensive.

My insurance is

 

[Wisheezy]

Even the least dopey people can get robbed.

Sure, if you pay insurance and don't use it, it seems expensive.

My insurance is

 

[jsmn4vu]

Insurance is only needed if you can't afford to absorb the loss yourself. Otherwise ...

... If you take the money you'd spend on insurance or service plans for consumer devices and invest it, you'll be money ahead -- as in thousands of dollars -- in the long run. It's called being self-insured and is a sound financial principle.

After all, the smart money is the folks that are selling you the insurance. Think about it.

 

[SUroot]

Insurance is only needed if you can't afford to absorb the loss yourself. Otherwise ...

... If you take the money you'd spend on insurance or service plans for consumer devices and invest it, you'll be money ahead -- as in thousands of dollars -- in the long run. It's called being self-insured and is a sound financial principle.

After all, the smart money is the folks that are selling you the insurance. Think about it.

Yes but insurance is a gamble but you know the outlay and you know the pay off is there if you need it. Investment is different. If it was that easy to take the cost of the insurance and invest it to get a return equal to that of your handset cost, then fair enough, but its more of a gamble. You could lose all the money. Much bigger gamble than insurance and potentially more costly.

 

[Johnny Cakes]

There is no right answer to your question. It is a math problem that you must decide based on your lifestyle and disposable income.

Here's the math part:

If you look at the "completed listings" on eBay, you can pick up a S3 for about $350 - $400. This price is for one that has a good ESN and is either new or used but like-new condition. You can pick up a bad ESN phone or a damaged phone much cheaper, but you don't want that.

Now subtract the deductable of $150 and you are left with an out-of-pocket expense of approximately $200 - $250 that you can avoid if you have insurance.

You will be paying the insurance premium of $11 per month which works out to $132 per year.

Here's the disposable income part:

If an out-of-pocket expense of $200-$250 is going to be a hardship, then maybe the insurance looks good. If not, you need to assess whether there is a very strong likelihood that you are going to need to have the phone replaced in the next two years. Only you know how unlucky you are with phones such that you might need the insurance.

Bottom line: the vast majority would probably be better without insurance. If you look at the yearly insurance cost as a percentage of replacement cost, it is extremely high -- 50%. Imagine if your car insurance was 50%!

Also, if you use the insurance, they don't give you a new phone, they give you a refurbished phone. So you could potentially do better on eBay and get a new phone.

But this is a personal decision. No right answer, no wrong answer.

 

[SUroot]

Bottom line: the vast majority would probably be better without insurance. If you look at the yearly insurance cost as a percentage of replacement cost, it is extremely high -- 50%. Imagine if your car insurance was 50%!

Also, if you use the insurance, they don't give you a new phone, they give you a refurbished phone. So you could potentially do better on eBay and get a new phone.

But this is a personal decision. No right answer, no wrong answer.

I think a lot of this is dependent on the insurer. I get new phones, no excess. You have to shop around for sure.

 

[Arms_Reach]

I've never had ANYTHING happen to any of my smartphones in the 6 years or so that I've owned them. When I bought my Galaxy I decided I'd get the insurance just because I have a kid running around now (who's already gotten a hold of my wife's phone...). Two days after I got my Galaxy, I jumped in a pool with it in my pocket... Yes, get the insurance.

Lol, I just got back from a vacation to the beach. Guess who took their phone for a dip? I bought it three days prior. Also, this is my first claim.

I don't buy insurance on electronics, like TV's or stereo type equipment, that just sit there and get dusted occasionally, but a piece of glass that I'm going to put in my pocket every day for two years? Buy the insurance.

 

[RhinoDoc]

I have been paying for the insurance since I moved to a winmo phone maybe 10 years ago. My first phone fell out of my pocket into the lake as I was untying my boat. Lesson learned, I am more careful on the boat and it never repeated. 2 weeks ago I took my daughter and her friend out on the boat (maybe the boat is the problem?) and when I asked her friend to hand me my SGS3 she said "No problem" and jumped off the boat. The phone flew out of her hand and the screen shattered on the parking lot. Yes, the insurance is more expensive than it was, and the deductible is more expensive, but what made it worth it to me was the fact that I called them about 7 PM Central time and I had a new phone before 3 the next afternoon. I couldn't have gotten to the store and gotten a new phone before that.

Nonetheless, I like the idea of paying for insurance for a few months and then cancelling it. I was shocked to find out my Motorola Photon could be bought back by Sprint.....for $60. My brother told me he got his iPhone 4GS from ATT for $50 plus his 3G. I guess there is no respect for the MoPho....

 

[91Firebirder]

I ALWAYS get insurance on my phone. I feel that my job significantly increases the chances of something bad happening to my phone and I am not gonna wanna come out of pocket for a new one. I have used it on my last two phones, whether I cracked the screen leaning against it playing pool or had it thrown in the mud and spilled coffee on it. Even after 18-24 months, I would be surprised if you could find the same phone for less than the deductible.

 

[JimmyRayBob]

I insure my phone thru my homeowners policy. it is a special rider. cost is about $18 per YEAR. no deductible. covers everything...drops, water, lost, stolen. might be worth a phone call to your insurance agent.

 

[shotinthenads]

I tried to get it through my homeowners, but they couldn't do it so I got it through Assurion when I bought it. I broke it two weeks ago and I got a new one about 24 hours later. I usually never buy the insurance. Glad I did this time

 

[blenky]

Good deals here for UK owners!

Insure and Go