When Are My Devices Covered By Insurance?
The vast majority of people never go anywhere without their devices. But what if you do leave your smartphone in your car and discover it missing when you return? Or, what if you are working on your laptop at the breakfast counter and accidentally spill your coffee all over the keyboard?
As devices and gadgets have become a bigger part of our lives, the need for insurance coverage and other plans that offer peace of mind in case of an incident has grown too. Devices are expensive to replace. They are susceptible to theft and often fragile to boot.
According to a recent survey of North American consumers, 72 percent report they have broken a phone, while 57 percent have broken a phone more than once.
Before you find yourself with lost, stolen or broken device with no way to seek compensation, take a moment to think about whether or not your devices are covered. Many people think their insurance policy covers accidental damage to their devices, but that usually isn’t the case.
Are You Covered by Your Mobile Carrier?
When it comes to smartphones and other mobile connected devices, the first route of protection is adding on a protection plan from your service provider. These plans are paid through an additional charge on your monthly bill. These plans usually cover accidental damage, such as liquid spills and cracked screens. Many plans cover lost or stolen devices, but not all. If your plan does, be prepared to pay a deductible, around a couple of hundred dollars in most cases, to replace your device.
Are You Covered by an Extended Warranty?
Mobile protection plans are typically limited to phones, but what about your other devices? Laptops, cameras, tablets, smartwatches, and other electronic devices can be covered for damage, theft, or loss by various independent protection plans. Keep in mind that you’ll need a plan for each individual item you want to cover.
Plans can typically cover your device for two to three years. You can sometimes pay more for a no-deductible plan. If you are accident prone and worried about breaking your fancy smartwatch, this is the exact kind of coverage you should spring for. Your plan provider will either repair your broken item, or they will give you money for a replacement.
If you purchased an extended warranty when buying your device, there is a chance that it covers accidental damage from handling. Not every extended warranty will offer this protection though. Also, most protection plans and extended warranties won’t cover loss or theft. One notable exception is AppleCare+, which offers replacement coverage for current iPhone models.
Are You Covered by Your Insurance?
In the case of a device stolen from your car, you might think you’d put in a claim with your auto insurance provider. But car insurance doesn’t cover theft of personal items from your vehicle. Instead, you would have to submit a claim through your home insurance policy.
Home insurance policies – and tenant insurance – typically cover your personal property from theft, both inside and outside the home. Of course, you will have to pay a deductible when making a claim and there are limits as to the maximum loss you can claim. Also, you usually aren’t covered by insurance if you just misplace your item.
However, most standard policies won’t cover accidental damage to your devices. Some policies offer coverage for accidents such as drops or spills, but this is an additional coverage you would have to add to your policy.
Finding the Right Coverage
At the end of the day, it is up to you to understand how your particular devices are covered. If you are worried about accidentally damaging or losing your device, your best bet is probably to go for a protection plan or extended warranty. If your personal devices are stolen, then you can turn to your homeowner’s policy.
You can reach out to any one of DPM Insurance Group’s brokers or CSRs for a comprehensive, no obligation review of your current policy. Click here to find the office closest to you: https://dpmins.com/locations/