Buying a gadget can be a significant financial investment. While manufacturer warranties cover damage occurring during the initial transit, faulty parts, and manufacturer’s errors. Gadget insurance will cover your mobile devices, like phones, laptops, and eReaders, from accidental damage and loss or theft.
More comprehensive coverage can be obtained from smartphone insurance plans.
Key Takeaways_
- Gadget insurance covers smartphones, laptops, desktop computers, tablets, and similar items.
- These insurance plans typically cover theft, loss, and accidental damage.
- Gadget insurance plans do not generally cover cosmetic damage or damage due to customer negligence.
What is Gadget Insurance?
Gadget insurance pertains to a number of insurance plans that are specifically made for consumers who have recently purchased a smartphone, laptop, or another expensive piece of technology.
Additionally, if you homeowners insurance, you need to ask yourself, “Does homeowners insurance cover cell phones?”.
Laptop and Mobile Phone Coverage Guide
Gadget-based insurance plans are typically designed to cover smartphones, laptops, desktop computers, and related pieces of equipment. Gadget insurance also covers tablets, e-readers, digital cameras, video game consoles, and dedicated MP3 players.
One such type of plan is the replacement phones from Asurion insurance, like when you file a Sprint insurance claim.
insider tip
Gadget insurance plans are typically designed to cover smartphones, laptops, cameras, smartwatches, and related pieces of equipment.
What Does Gadget Insurance Cover?
Insurance plans can vary as to what they cover and do not cover, and there are some commonalities. Generally speaking, gadget insurance plans cover stolen and lost gadgets.
These plans also typically cover the mechanical breakdown of gadgets if this breakdown is not the fault of the user.
There are some scenarios that only occasionally provide coverage, such as the pair listed below.
Then, if you have a Samsung phone, you can read about your options for Samsung Galaxy insurance. Also, you should be sure to understand the differences between a warranty vs insurance.
Liquid Damage
Some gadget insurance plans cover damage related to liquids. This means if you accidentally drop your smartphone in the toilet, the insurance should cover any repair or replacement fees.
Liquid damage coverage can also pertain to damage related to rainstorms and extreme weather conditions. Read the fine print.
Accidental Damage
If you accidentally drop your phone or another type of gadget, such as a laptop, your insurance plan could offer coverage related to any damage that occurred. This can include cracked smartphone screens and other accidental breakages.
What Does Gadget Insurance Not Cover?
Plans vary, but many gadget insurance companies offer similar exclusions when it comes to coverage. Insurance exclusions typically include cosmetic damage, damage due to customer neglect, and damage caused to refurbished items.
These plans will also not cover any gadget you did not list when you originally purchased the insurance plan.
In addition, these plans will not cover any damage that occurred before you purchased the plan.
STAT: Portable electronics, including smartphones, laptops, and tablets, are typically covered only up to $1,500 under a standard homeowners policy, according to the Property Casualty Insurers Association of America. (source)
What is a Deductible?
All insurance plans require a deductible before coverage begins. Deductibles are a pre-determined amount of money the consumer is responsible for paying before the insurance company begins taking care of the excess financial obligations.
For instance, if your deductible is $100, you must pay $100 in repair fees before the insurance company steps in.
