T-Mobile Informative - Cell Phone Insurance - Don't Do It!
I personally don't think that cell phone insurance is a good idea. I had an unfortunate experience of my phone falling out of my pocket, onto the ground unknowingly and my husband's car ran over it. It still worked however, the screen never regained consciousness.
I had taken out insurance when I first got service from T-Mobile and it stated that the deductible would be $35.00 at that time. Well, I had the phone for well over a year, paid $3.99 per month during the entire time and was unaware of what the customer service agent on the insurance side of things was about to tell me.
T-Mobile’s insurance rates went up – they claim to have sent a notice but of course I never received one. If I had, I surely would have cancelled the insurance immediately. It turns out that now the deductible is $70.00 and I would of course, receive a refurbished (used) phone of the same type! Keep in mind - used phones aren't even worth as much as the phone you're attempting to replace.
Because of all of this new info - I hit the roof! First of all, I didn’t pay anything for the phone. It was one of those cheap free phones, so why in the world would I pay $70.00 for it. $35.00….OK… but $70.00…heck no! Then to have paid $3.99 per month for the last 18 months; I've already paid $71.82 in monthly dues to the insurance. I thought to myself man, this is crazy!
So of course, I opted out of paying that fee and just simply chose a different phone, for the same price, but not without getting ripped off again by basically being forced to sign yet another contract for two more years – that is, if you don’t want to pay full price for the new phone that you choose. And of course, I cancelled the misleading insurance!
But I have a solution – well, maybe partial. I plan to NEVER pay for cell phone insurance again, but get a new phone every year. Why? Every time you purchase a phone, it comes with a one year warranty. Therefore, if anything happens to it (outside of getting lost), it’s covered automatically and you don’t pay a penny more for it! So buy a new phone every year (you just have to renew your contract – but if you are happy you’re your carrier, it’s no big deal because you more than likely would be with them another year or two anyway)….and you’re always covered! As I mentioned, this doesn’t help if you loose your phone, so keep mindful of it and don’t misplace it – but as long as the damage is within the warranty specifics – you will be just fine!