Should One Buy An Equipment Protection Plan?
These days we can insure just about everything and anything
. You make a purchase at your local office supply store and subsequently are asked whether you would like to buy a protection plan.
The same goes for your cell phone. Almost every phone provider sells what is called an Equipment Protection Plan. With the increasing cost of cell phones or smart phones and knowing of how easily they can get lost or broken, are such protection plans worth the price?
The answer could depend on many variables. To start, all new phones come with a limited warranty but this warranty typically only covers manufacture defects or malfunctions. Such problems are rare. Cell phone problems usually are a result of neglect, accidents and theft. So while your cell phone may have cost little to nothing when you purchased it due to signing a carrier contract, the question is, how much would it cost to replace.
So from there, let's look at what equipment protection plans cost. Most plans range around $5.00 a month. Review your carrier's protection policy before buying it. Many policies will replace your cell phone overnight with one that is exactly the same or similar to the one you lost. Sounds good, right?
So why are consumer groups suggesting not to purchase these plans? According to Consumer Reports Editor Greg Daugherty, "You can insure every gadget in your life if you want these days. We think all this little insurance is just adding up to too much in many cases. People really ought to be focusing on the big risks."
The Consumer Reports people aren't the only one advising against cell phone insurance. A group called the San Diego's Utility Consumers' Action Network (UCAN) also advises against cell phone insurance. UCAN's Michael Shames states that they get "lots of complaints" from people who bought coverage.
Now, if your phone cost anywhere in the $500 to $600 range, then who cares if one pays $50 and receives another that is refurbished or even used, right? And some people are just accident prone or have a history of losing their phones. Would insurance suit these folks? In these cases, Shames says yes, it could be useful to buy such coverage, as long as you know ahead of time that you will get something refurbished or used.
Shames also adds, one should also examine the fine print on the policy they are looking to buy. While most of us don't like reading fine print, it could spell out what you are or aren't getting. For instance, Cingular phones do not cover "normal wear and tear" or a cracked display "that does not affect the mechanical or electrical function of the unit." Of course while the brochure selling the insurance brags that "a replacement is just a call away," the policy is less generous. Reading the fine print one discovers it states that it has the right to "repair or replace" the phone. That's a big difference. And if they do send you a replacement, "colors, features and accessory compatibility are not guaranteed."
Also, cell phone insurance is usually purchased through a third-party company and instead of giving you a cash settlement, like other typical insurance policies, they give you merchandise instead. And how valuable is that merchandise, really? One can buy used or refurbished cell phones on Ebay for nearly nothing.
Last, if the sales person is pressuring you to buy coverage upon the time of buying your phone, know you have 15 to 30 days to decide after you make your purchase.
So, should you buy an equipment protection plan? I suppose it just depends on what you are most comfortable with knowing exactly what you can expect.
Should One Buy An Equipment Protection Plan?
By: Chad Figueiredo
No Audio Drivers Detected --- How to Fix Audio Driver Problems Audio Production Schools - Managing Your Career Wireless Headset Technology From Past to Present Sennheiser PXC 450 headphone review. A peace of mind? Krk Rokit 5 Speakers Greatest Place For Downloadable Mp3 audio books Guangzhou Tv Audio Content Development Has Been A Lesson The overall sound into a modern new darling into the unusual decoration decoration design - Audio, Smart Home - Smart Home Industry Get ICD-9 2011 updates in an audio conference How Much Do You Need To Own The Best High End Home Audio Speakers? How to Choose the Right Audio Engineering School The Mistakes To Avoid While Buying Car Audio How To Buy The Best Car Audio