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When you get a new tech gadget, you’re probably very excited to use it and discover all that it can do. The last thing you want to think about is what if you damaged it. Many tech devices are more expensive to fix than to replace and are luxuries, not necessities. So you may think that you will do without until you can save up to get a new device, perhaps more advanced than the one you broke.
If you got a new iPhone or Android phone, you probably bought it when you signed a new contract with your carrier, significantly reducing the price of the phone to a couple hundred dollars or less. So why would you spend money to get an extended warranty on the phone?
Reasons to buy a cell phone warranty:
1. To replace a smartphone that you bought on contract, you need to pay much more than the cost of the phone when you signed onto your contract. The 16 GB iPhone 4S is $649 without a contract, much more than the $199 price with a contract.
2. You have to keep paying smartphone fees to your carrier (example, the fee for your data plan) during the term of your contract even if you don’t have a smartphone any more.
3. Mobile phones are, well, mobile. They get around. As in “get into the washing machine” get around. Or drop out of your pocket. Or run over by a car. You get the idea. The more places you take them, the more ways you have to destroy them.
4. Manufacturers’ warranties only cover defects, not damage.
5. Once you have a smartphone, it’s really tough to go back to a feature phone. Really tough.
For those reasons, I highly suggest that people get warranty coverage on their cell phones. I know someone who broke her iPhone the first month she had it. She didn’t want to pay the money to get a replacement iPhone off contract, so she went back to her feature phone and ended up paying for a data plan she didn’t use for 2 years.
Where to Buy Warranties
There are three main sources for cell phone warranties: the carrier, the manufacturer and third parties.
Carriers
Many carriers offer a cell phone warranty for a monthly fee. Check your terms and conditions and compare the fees and deductible with other warranties available. In general carrier warranties are more expensive than manufacturers’ warranties, though may seem cheaper because you pay a monthly fee instead of a lump sum.
Manufacturers
When you buy a cell phone, many manufacturers will give you a warranty against defects for 12 months. This doesn’t cover you against damage to your phone should something happen like you drop it, your dog mistakes it for a chew toy, or your kid runs over it with her tricycle.
Third Parties
Square Trade is a website that offers warranties on many tech devices. I’ve purchased a warranty for my iPad from Square Trade. Right now they are offering a 2 year warranty on the iPhone 4S on sale for $99. Square Trade Warranty
AppleCare +
Apple offers an extended warranty for its products called AppleCare. Beginning this month, Apple is offering AppleCare + to cover damage to iPhones. The coverage is for 2 years and costs $99. You must buy the coverage when you buy the phone from Apple, though until November 14 you can buy AppleCare + for phones that were purchased elsewhere on or after October 14. To purchase AppleCare + when you didn’t buy your phone from Apple, you must speak to Apple on the phone.
Apple is especially busy right now. Don’t call Apple unless you want to wait on hold for hours. In fact, you may be on hold past November 14 even if you call right now. Instead, go to expresslane.apple.com and schedule Apple to call you. You can have them call you immediately or at a designated time.
Which Should You Choose?
If you buy an iPhone and live near an Apple Store, I recommend buying AppleCare +. The major advantage is that you can take your iPhone into an Apple Store and either have it fixed or walk out with a new one. The disadvantage of AppleCare + is that you are restricted to two repairs if your phone is damaged.
If you don’t live near an Apple Store or want to protect tech that isn’t an Apple product, I recommend SquareTrade. They don’t limit the number of times you can repair your device though they only cover the damage up to the cost of the device. So if you completely demolish your iPhone, they will give you a new iPhone but your warranty is then over.
Bottom Line
If you want to protect your tech with a warranty against damage, look at all your options. Compare fees and deductible amounts. If you’re buying a smartphone at a steep discount when you sign a contract with your carrier, definitely consider getting a warranty for your phone.
Do you get warranties against damage to your tech? Have you ever had a mishap with your cell phone? Let us know in the Comments section below!
* Image by Ryosuke Takeoka
** Image by Stephen Heywood
Hi Carolyn,
I have not purchased warranties in the past, but after reading your post, I see the value in doing so. My devices and computer are all doing well, but accidents can happen when you least expect it, so it seems wise to have a warranty. Smart Trade is new to me, and sounds like a good second option.
Hi Cathy, Some people do buy warranties for computers, especially laptops which seem to be more accident prone. But computers tend to get cheaper and more advanced. Cell phones do too, but many people don’t realize how expensive smartphones can be if they only buy their phones when they sign a contract.
I’ve never had to make a claim with SquareTrade, but I have heard great reviews from people who have had a great experience filing a claim with SquareTrade.
Hi Carolyn,
People in the UK are more likely to insure their phone than themselves! I just saw the new Iphone, I went to buy a battery charger, mine was broken. I need it for the AA batteries for my camera. That was out of stock and there was no price on the Iphone. I checked out the SAT NAV’s and the cheaper ones had bigger screens! I’ll do more research! I don’t really need one until next summer and can borrow my sister’s in the mean time. I won’t have my friend helping again, shortest route is not the best one in England!
I have my Thrifty Thursday blog ready for tomorrow with a few food ideas! My take on bacon and eggs (with photo), roast chicken (with photo) and my delicious prawn salad (with photo), you may have to substitute shrimps! I like Icelandic prawns with Iceberg lettuce! I negotiated a better tariff for my gas and electricity through the winter too and so included details for UK readers! I saved quite a lot. We changed the clocks in a few days and so I can set the timer on my heating and switch on! April was mild and so has this month so far; that saves us money until the snow comes!
Hi Mike, If you choose shortest route, you will never drive on the M25.
Sat Navs will only get cheaper, so by next year you should be getting a much better deal than you can now.
We haven’t switched our clocks back in the US now so I’m only 4 hours behind you. I will definitely be checking out more of your yummy recipes! 🙂
It certainly is better safe than sorry.
Well talking for myself I’ve never let anything happen to my smart phone, probably because i’ve been using the feature phone for most of my life and just bought a smart phone a year ago. but a friend of mine poured water on his iPhone 3gs back in the days and had to go back to his feature phone.
Hi Faran, Welcome to The Wonder of Tech! You’re lucky that nothing has ever happened to your phone. I’m sure your friend is missing his iPhone 3GS. Water is not a cell phone’s friend!
Hi Carolyn,
I’m going to have to let my nephew know about this. That boy has busted more phones than I can say. He’s working on a cruise ship right now and is without a phone, again. The way he goes through them, he definitely needs to shell out the money for this.
When I was i the workforce, we had this type of plan for my boss. He had a habit of dropping his cell in his coffee if you can imagine that.
With how sophisticated all these devices have become, I would think that this would be a great option to have. As always, Carolyn to the rescue.
~Adrienne
Hi Adrienne, Yes, for someone who is accident prone, cell phone insurance for smartphones is practically a necessity. It’s funny, sometimes I have had warranties on my smartphones, other times I haven’t. When I had the warranties, I damaged my phones (not intentionally), when I didn’t, my phones were fine. I guess I’m lucky that way.
I have AppleCare + on my new iPhone, but I hope nothing happens to it!
Protect our tech is important, moreover this times are tech era. Thanks for your tips Carolyn, its useful.
Hi Harry, Welcome to The Wonder of Tech! Yes, protecting our tech is very important, especially with smartphones. I’m glad you find these tips useful!
I am all in support for AppleCare, however, the phones these days are very short lived. You buy an iPhone, that goes kinda obsolete in 2 yrs if not sooner. As opposed to buying AppleCare for my MacBook. IMO, every extra dollar I paid for is worth, and I got way more back in their wonderful services. Esp, my MacBook was out of warranty, yet they took care of an expensive repair for me.
Hi iRewardChart, I agree with you, except I believe the fact that the useful life of these phones is short is all the more reason that these warranties are important.
If you break your phone let’s say three months before you can upgrade to a new model, you won’t want to spend the money to replace your broken phone by buying a new phone at full price. A warranty allows you to get a replacement phone so you don’t have to make those difficult choices towards the end of your contract.
Carolyn, aloha. Thanks so much for this. Though I don’t have a new phone, when I do get one, based on your advice I will get a warranty. In the past, I have not bought warranties, however, looking at the price differential on the smartphones on contract vs. buying new it makes perfect sense.
Square Trade sounds like a great resource, Carolyn. Thank you so much for that.
of course, I have not had any mishaps with my phone since I rarely use it nor does it go out of the house very often.
Off to spread theese latest words to by the Wonder of Tech!
Best wishes for a terrific day. Until next time, aloha. Janet
Hi Janet, I’ve heard of some people who don’t get extended warranties. Anytime they want to spend money on these, they put that money into a fund to self- insure a product. That may work for something like large appliances, but for a phone, that would take 12 years to have enough funds to self-insure replacing am iPhone ($600+ vs. $99 for two years of insurance).
Perhaps nothing ever happens to your phone during the two years, but if it does, you will be glad you got the extra coverage.
Thanks so much for spreading the word, Janet!
In my country, all phones & smartphones come with included warranty for 1 or 2 years. Either you buy it with contract or not.
Hi Radu, Are those manufacturers’ warranties against damage to the device or just for defects? Some people think that they will be covered against damage and then are surprised when they warranties just cover manufacturers’ defects.
Sorry for the delay Carolyn. Those are manufacturer’s warranties against damages. They will fix your phone with a single condition. Not to be broken / destroyed by you.
Are you spying on my family Carolyn!?!? Honestly, as you posted this blog article, my daughter’s MacBook screen shattered into 5 million pieces. Devastation! She is in 12th grade, and her entire life is in that computer. However, we were very happy and relieved that AppleCare is covering the repair. Phew. Our family is beholden to AppleCare – two months ago, my other daughter spilled a cup of water right into her Mac keyboard and fried the insides. Again…thankfully (and shockingly) covered! We have been blessed by the Apple Gods 🙂
Hi Ruth, I promise you, Ruth, I am not spying on your family. 😉 Your daughter sounds like the ideal candidate for AppleCare! I hope in the future she has better luck with her MacBook. Kids are a great reason to get the extra coverage.
Great advice. Believe me, I have never thought about this at all. I always try to scare him by saying things like “what would happen if you dropped your iPhone?” I scare the hell out of him. 😀
I have seen some videos on YouTube about what you have to do if you drop your iPhone in water. The first step was to put it in uncooked rice. 😀 That works they say but just at the beginning of the repair process.
Buying a warranty is better than putting your phone in uncooked rice.
🙂
Hi Mouh, Great advice, you could do both, though. Try the uncooked rice and then, if that doesn’t work you could get the phone replaced. As these warranties are limited (2 repairs for AppleCare and monetary limits on SquareTrade), it’s best to fix the phone yourself with an inexpensive solution like leaving your phone in uncooked rice, if that works.
Thanks for the awesome comment, Mouh. Great blog post too! 😀
Phones and computers are things that I almost always insure. It is too darn expensive to replace them and things sometimes happen so….
Hi Jack, You’re right, it’s important to protect your tech because it’s so difficult to live without it and because lots of mishaps happen to tech. Then, when something does happen, it’s not quite as upsetting.
I have never purchased any warranties in the past, and I’ve been lucky. I have thought a lot about it, and especially after I got kids. I can’t believe that they haven’t destroyd any of my computers, TVs, cell phones etc..
I don’t like to pay for something I don’t think that I’ll use (on the other hand, I know that I’ll be saying something completely different as soon as I need the warranty) 🙂
Hi Jens, You’re right, buying these warranties is a gamble. If you don’t end up needing them, will you regret spending the money on them?
Probably it will just take one time breaking a gadget for you to consider getting a warranty. But if you remain lucky, then you may never get one!
Had never heard about warranties for phones! Of course we do take special care when we need warranty for our cars or stuff that costs more- but I love the idea about the number of places and ways or reasons why we need a warranty for our phones as well- something that never struck my mind!
Thanks for the great reminder 🙂
Hi Harleena, People can be very surprised at the replacement cost of smartphones since they are relatively inexpensive when purchased with a contract. Many people don’t realize you can buy a warranty that protects against damage and that the maufacturers’ warranties don’t cover damage.
But I hope you never need the coverage, Harleena. Some people are lucky and never damage their phones. I have twice and was very happy to have the coverage. 🙂
It always floors me when people buy expensive gadgets and skip the extended warranty. I’ve taken advantage of many a warranty and, to me, it’s better to have that assurance rather than worrying about spending more money later on down the road. Of course, few are aware of the options they have so they get burned by bad deals. When it comes to retail purchases,I’ve had the best experience with Sears and Wal-Mart. Best Buy, not so much. Read the fine print.
Hi Yomar, People tolerate all sorts of risks with their property. Some people are lucky and have never had mishaps so they don’t see the value in warranties. Others just like the peace of mind and don’t want to have to worry about their stuff.
You’re right, not all warranties are created equal so you should really check the fine print!
I personally never pay extra to ensure my electronics.
Most items if they break are covered in a home contents insurance and if after warranty they become faulty are best to replace with a newer model anyway.
Hi Tim, Welcome to The Wonder of Tech!
I do insure my tech because my homeowner’s insurance deductible is more than the tech is worth. Also, I don’t want to be making a claim on my homeowner’s insurance when my tech breaks. I have collected on my insurance twice when I have broken my cell phones (apparently sending a cell phone through a washing machine cycle was a bad idea, who knew?), both times it would have been very expensive to replace the phones as I wasn’t purchasing them with a cell phone plan.