When it comes to choosing the policy that’s right for you, it can seem daunting. With so many gadget insurance providers currently in the market, customers have the freedom to choose their level of cover, method of compensation, and much more.
Most insurance providers offer cover for theft, loss, mechanical breakdown and accessory cover, but the claims process varies widely between insurers. We’ve laid out how different types of insurers respond to various claims, so you just have to pick the combination that’s right for you.
Standard contents and home insurance usually only replace your device if it was lost in a home burglary, flood, or house fire. More comprehensive policies can also cover in-home accidents if you drop your phone in the toilet or crack the screen.
Bank insurance can be handy if you wish to rely on one insurer for many areas, but often comes with an increased excess when making a loss claim. In many cases you’d save money with a specialist gadget policy elsewhere.
Mobile network providers usually do not cover any unauthorised calls, texts or usage on a lost on stolen device, which can lead to an inflated telephone bill outside of your control. Most insurers also limit the number of claims you can make in a calendar year.
When purchasing insurance from a pure play provider, loss cover can usually be purchased in one of the more premium packages – so you can always trust that your phone will be replaced in a timely manner.
Home insurance will cover you as standard if your phone is stolen in a burglary, lost in a fire or damaged by extreme weather. Unfortunately, it does not offer cover if your device is stolen walking down the street or at a bar – this requires additional personal-belongings cover, which costs extra.
If your phone is stolen and you are insured through your bank, you are usually given standard cover for damage and breakdown, but not for loss and theft. Another issue is that mobile insurance from a packaged bank account often requires a higher excess, but issues a lower compensation fee.
Mobile network providers usually offer standard levels of cover, which includes loss, theft, damage, malfunctions, unauthorised calls and mobile phone accessories. Network insurers are likely to charge more for the convenience of purchasing complementary insurance for your device.
Through a pure play provider, a replacement device is usually issued with cover for unauthorised calls and messages. You’ll often receive a more efficient service, with replacements being sent out quickly and any claims resolved effectively.
Home and contents insurance usually exclude cover for mechanical breakdowns, regardless of whether it occurred inside or outside of your home. This may be purchased for an additional fee, but you also risk increasing your premiums if you need to make a claim.
Mobile insurance with your bank will often place a limit on the number of claims permitted – usually two within a 12-month period. This could be inconvenient if your own a phone with a tendency to break down at any given moment; you could end up paying more to insure your mobile phone than necessary.
Mobile network providers usually work on an exclusive basis; often you need to have already purchased a phone from them first. If you purchased your phone through a different network or from another provider, you cannot receive any of their mobile phone insurance benefits.
With a pure play provider, repairs are unlimited, so you can claim at any time within your insurance period. A pure play provider offers a more effective insurance package for any phone if it is no older than 36 months. We also offer a 12-month warranty on all repairs and replacements.
Home and contents insurance providers often do not provide insurance for any accessories related to your device – this means if you lose your headphones or damage your charger, you won’t be covered.
Premium bank accounts usually include cover for your accessories, but with a maximum value limit, and only if they were lost, damaged or stolen at the same time as your mobile phone.
Through a mobile network provider, you often cannot make accessory-only claims. Any claims must be made alongside a claim for the lost, theft or damage of your mobile phone.
With a specialist provider like Mobile Phone Insurance Direct, accessory cover is included within the monthly premium. Other insurers also offer this benefit, but for an additional cost.