Mobile phones, especially expensive smartphones, are increasingly becoming the objects of theft. Insuring them seems to be the only way to adequately protect one’s investment. has come up with 10 important things that you should know about mobile phone insurance before you take the plunge?
1. Check For Additional Handset Claims
Will your insurer charge you an excess if you claim for more than one handset a year? In that case, how much will that excess be? Some insurers literally double the excess they charge if you lose more than one handset in a one-year period.
2. Check For Call Coverage In Case Of Theft
What if your mobile phone thief makes expensive calls or downloads apps using your phone? Will your phone provider cover those charges? If your insurance does not cover this point, then it’s quite likely that your phone provider won’t either.
3. Check If Phone Needs To Be Registered
Does the insurer insist of registering your phone, for it to be eligible for coverage? Does such registration mean additional charges? Is the phone automatically registered if you buy insurance from the phone provider?
4. Check The Small Print
Depending on your insurer, you may have to satisfy different requirements for a successful claim. Read your policy documents carefully before proceeding. Know if your insurance is invalidated if you leave your phone in the car.
5. Act Quickly
Don’t delay when your phone is missing or stolen. Ensure your network provider immediately stops all unauthorized calls. Also report the loss to the police, and obtain a crime reference number. Contact your insurer immediately for full leverage.
6. Check If You Already Have Mobile Phone Insurance
Check if you have a premier current account with your bank that comes bundled with mobile insurance. Some top banks offer them – so your phone might be covered already, without your knowledge.
7. Check Out Their List Of Exclusions
Some insurers refuse to pay out if you accidentally lose your phone, or if theft occurs within first 14 or 21 days of the policy. There are other exclusions too – phone damage, tampered or unavailable IMEI number,presence of computer virus on phone and much more.
8. How Much Is The Excess Amount?
Always know how much excess amount you’ll be paying out for the cost of a new phone or phone repairs. Your insurer will only pay the rest. With mobile insurance, you’ll have to send a check for the excess before they even settle your bill.
9. What Happens If Your Insurer Closes Down?
If your insurer closes down, it is the FSCS’s job to find you another, or issue another policy. You must be aware that if you need to make a claim immediately, or have ongoing claims, you must ensure that the FSCS covers them.
10. What Happens To Your Upfront Payment If Insurer Goes Down?
If you’ve paid upfront for a year and then your insurer closes down, you’ll be losing your money. You could ask the FSCS to transfer your policy to another provider. The FSCS will allow you time to take out alternative insurance and even refund part of your money if you have your receipts.