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MacRumors
Oct 4, 2011, 02:34 PM
http://images.macrumors.com/im/macrumorsthreadlogo.gif (http://www.macrumors.com/2011/10/04/apple-launches-applecare-with-accidental-iphone-damage-coverage/)


http://images.macrumors.com/article-new/2011/10/applecare_plus_iphone.jpg


Alongside all of today's other announcements, Apple also quietly debuted AppleCare+ (http://store.apple.com/us/product/S4575) for the iPhone, a new extended warranty program that also includes coverage for up to two incidents of accidental damage with a $49 service fee. The new AppleCare+ offering is valid for all iPhone models and is priced at $99.Every iPhone comes with one year of hardware repair coverage and 90 days of telephone technical support. AppleCare+ for iPhone extends repair coverage and technical support to two years from the original purchase date of your iPhone and adds coverage for up to two incidents of accidental damage due to handling, each subject to a $49 service fee.Basic AppleCare for the iPhone, which is no longer available, had been priced at $69.00 but did not cover accidental damage.

Article Link: Apple Launches 'AppleCare+' with Accidental iPhone Damage Coverage (http://www.macrumors.com/2011/10/04/apple-launches-applecare-with-accidental-iphone-damage-coverage/)



bacaramac
Oct 4, 2011, 02:36 PM
Ha, just saw that on the Apple Store. Pretty cool if you are accident prone.

chrmjenkins
Oct 4, 2011, 02:37 PM
They charge $200 to replace your phone, so this is $50 off. It only becomes valuable if you have to replace it due to damage though.

mtbgtr
Oct 4, 2011, 02:42 PM
My wife had her iPhone 4 on the roof of her car then drove off. Phone was demolished, she then took the pile that was left back to Apple store and they replaced it for free. I like that plan better.

spazzcat
Oct 4, 2011, 02:42 PM
Wirelessly posted (Mozilla/5.0 (iPhone; CPU iPhone OS 5_0 like Mac OS X) AppleWebKit/534.46 (KHTML, like Gecko) Version/5.1 Mobile/9A5313e Safari/7534.48.3)

Square trade is all I use...

Awjvail
Oct 4, 2011, 02:43 PM
$49 service fee? On top of the $49 premium over regular AppleCare?

http://farm4.static.flickr.com/3101/2851814771_38b1ff5e57.jpg

FroMann
Oct 4, 2011, 02:44 PM
Seeing how all the students at my campus have either cracked screens or missing parts from the iPhone, this may come in handy.

EricNau
Oct 4, 2011, 02:44 PM
So, essentially identical to SquareTrade, with the Genius Bar experience.

Remember that many credit cards will add an additional year of basic warranty coverage to electronics (for a total of 2 years), and offer 90-day purchase assurance which covers accidental damage AND theft. For free.

bushido
Oct 4, 2011, 02:48 PM
i got mine insured (?) on tmobile and i "accidentally" dropped it last week and got a new iPhone 4 already. a friend of mine is already on his 3rd and they only charge u 60 bucks each time. its great

jsalda
Oct 4, 2011, 02:57 PM
This will be interesting. I know a lot of people that have received new phones when they have accidentally broke theirs. It seems that those with AppleCare had a better chance of getting a replacement, which is why I bought it. However, as mentioned, it seems that you can get a replacement without AC, usually with the "just this one time as a courtesy" warning. I bet it'll be a lot harder for those without AC to get replacements now. The $49 replacement fee (on top of the AC cost) is a joke, though.

Mr. Chewbacca
Oct 4, 2011, 03:00 PM
If you can transfer it you will get a much better resale price on your current phone.

pretty much squair trade but in the apple store so not bad.. better than paying 750

Zimmy68
Oct 4, 2011, 03:12 PM
My wife had her iPhone 4 on the roof of her car then drove off. Phone was demolished, she then took the pile that was left back to Apple store and they replaced it for free. I like that plan better.

I wished I was the sales person at the time.

I would have looked at her and said, "yep, you broke it alright, are you here to buy something?"

cfedu
Oct 4, 2011, 03:14 PM
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I buy an iPhone , 11 months after purchase I drop it in the pool!
I get apple care and then for 100$ and then go to the apple store and give them $50 more.

Not to bad if you ask me!

No way to get a used iPhone for $150 with 13 months apple care +. With one more exchange if needed.

I might consider this

sunseeker
Oct 4, 2011, 03:26 PM
Perhaps the $49 fee covers them sending you the replacement before you return the damaged unit

Until now that has been known as an 'advanced repair' and has come in handy for me more than once, for instance when my 3GS kept crashing during calls and I was able to keep using it until my replacement arrived

Xenomorph
Oct 4, 2011, 03:26 PM
I just tried to look up AT&T insurance, and this is what I found.

AT&T's plan:
- $5/month ($120 over two years).
- $50-$125 per incident (depending on model of phone - 8GB, 16GB, etc).
- Must sign up within 30 days of purchase.
- You have to deal with AT&T stores (and they will always charge).

Apple's plan:
- $100 for two years.
- $50 per incident, maximum of two.
- Must sign up within 90 days of purchase.
- You deal with the Genius Bar. Annoying if you hate crowds or hippies, but there is always a chance they will just replace your phone for free without it counting as a claim.

I will probably just get the AppleCare again. I got it with my 3GS, and even if it wasn't needed, I got the warm fuzzy feeling of knowing they would take care of me. Now I know they will definitely take care of me if I smash my phone accidentally!

Chaos123x
Oct 4, 2011, 03:28 PM
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Now my iPhone will finally go naked!

AppleFanTeacher
Oct 4, 2011, 03:31 PM
My wife had her iPhone 4 on the roof of her car then drove off. Phone was demolished, she then took the pile that was left back to Apple store and they replaced it for free. I like that plan better.

I wish they did that for me. My son, while on our first day at DisneyWorld, knocked my two-week old iPhone 4 out of my hand and cracked the screen. It still works but hate the crack on it. Came back from my trip and neither Verizon or Apple would help unless I pay the $179 for the insurance. (this was back in first week in June.) If someone has an idea of how to get it fixed without this fee or reduced, i'm all ears.

Doctor Q
Oct 4, 2011, 03:34 PM
My wife had her iPhone 4 on the roof of her car then drove off. Phone was demolished, she then took the pile that was left back to Apple store and they replaced it for free. I like that plan better.
I wonder if they'll be less likely to do that now that this new paid plan for accidental damage has been added.

Battlefield Fan
Oct 4, 2011, 03:35 PM
What about stolen phones? Would have been nice after last Thursday...

Zepaw
Oct 4, 2011, 03:38 PM
Smart move. Now I will probably grab Applecare for my iP4S rather than Square Trade. My iPhone 4 met its fate through my klutiness in a parking lot. :(

Shrink
Oct 4, 2011, 03:40 PM
They charge $200 to replace your phone, so this is $50 off. It only becomes valuable if you have to replace it due to damage though.

True. But isn't that "if" the basis of all insurance? ;)

chrmjenkins
Oct 4, 2011, 03:54 PM
True. But isn't that "if" the basis of all insurance? ;)

Of course. I've never had to replace an iphone under warranty because I'm careful, so it's not for me. My wife, who dropped hers in a toilet amongst other things... maybe :D

benmrii
Oct 4, 2011, 03:58 PM
My wife had her iPhone 4 on the roof of her car then drove off. Phone was demolished, she then took the pile that was left back to Apple store and they replaced it for free. I like that plan better.

That's nice, and if you catch someone feeling like making that as an exception, great. But Apple is not going to do that the vast majority of the time as the standard warranty (and previously Apple Care) specifically states it does not cover such instances, especially now that accidental damage coverage is available.

This is a nice, new option.

Shrink
Oct 4, 2011, 04:00 PM
Of course. I've never had to replace an iphone under warranty because I'm careful, so it's not for me. My wife, who dropped hers in a toilet amongst other things... maybe :D

I'm like you. Very careful with my phone. I've never dropped it, and never will...until I do.:eek: :o

I will probably pay the extra tariff on my next phone (iPhone5?? iPhone6?? whatever) :)

black743
Oct 4, 2011, 05:34 PM
Apple's plan:
- $100 for two years.
- $50 per incident, maximum of two.
- Must sign up within 90 days of purchase.
- You deal with the Genius Bar. Annoying if you hate crowds or hippies, but there is always a chance they will just replace your phone for free without it counting as a claim.



Actually, you just have to buy it within the first year; however, coverage starts from the purchase date of the phone. So if you waited 11 months to buy, you would still only be covered for two years after your purchase date.

theBB
Oct 4, 2011, 05:58 PM
I am not sure what they do in case of water damage, but Apple stores usually replace the phone for $199 if you have a cracked screen or buttons that stopped working etc. If you buy AppleCare+ and have an accident, you'll end up paying $148, savings of only $51. If you do not suffer any damage, then you will end up paying nothing versus losing $99 with AC+. In other words, risk your $99, so that you may save $51 overall. Not a great deal.

charlituna
Oct 4, 2011, 06:12 PM
My wife had her iPhone 4 on the roof of her car then drove off. Phone was demolished, she then took the pile that was left back to Apple store and they replaced it for free. I like that plan better.

Except that you can't count on that. Technically they should have charged her $199 if it was still under warranty or made her buy a new one. She was lucky that she got a tech in a good mood who was willing to plead her case and get her a favor, I'm guessing because she was honest, undemanding and had never had such a thing happen before. so she got a 'hsit happens' exception, that will never happen again.

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$49 service fee? On top of the $49 premium over regular AppleCare?

before this the service fee was $199 if you were in warranty and buying a full price phone or blowing your upgrade if you were not. per incident.

yes there are some folks that are lucky and never have a defeat or damage and thus paying $69-99 was a total waste. But then there are some folks whose kids break their phones monthly by dropping them, getting them wet etc. For them, the savings add up fast.

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What about stolen phones? Would have been nice after last Thursday...

nope. not lost either.

this is basically a paid service swap. key word being swap.

----------

That's nice, and if you catch someone feeling like making that as an exception, great. But Apple is not going to do that the vast majority of the time as the standard warranty (and previously Apple Care) specifically states it does not cover such instances, especially now that accidental damage coverage is available.

This is a nice, new option.

I suspect that they might still waive the fee one time or even perhaps allow you a third incident, if the conditions are right.

chrmjenkins
Oct 4, 2011, 06:19 PM
I am not sure what they do in case of water damage, but Apple stores usually replace the phone for $199 if you have a cracked screen or buttons that stopped working etc. If you buy AppleCare+ and have an accident, you'll end up paying $148, savings of only $51. If you do not suffer any damage, then you will end up paying nothing versus losing $99 with AC+. In other words, risk your $99, so that you may save $51 overall. Not a great deal.

My wife's iphone 4 was replaced for 200 after water damage.

Also, what if you damage your phone twice? Then you Save $200.

ABernardoJr
Oct 4, 2011, 07:19 PM
Wirelessly posted (Mozilla/5.0 (iPhone; U; CPU iPhone OS 4_3_5 like Mac OS X; en-us) AppleWebKit/533.17.9 (KHTML, like Gecko) Version/5.0.2 Mobile/8L1 Safari/6533.18.5)

My wife had her iPhone 4 on the roof of her car then drove off. Phone was demolished, she then took the pile that was left back to Apple store and they replaced it for free. I like that plan better.

I wished I was the sales person at the time.

I would have looked at her and said, "yep, you broke it alright, are you here to buy something?"

With that level of generosity and courtesy (and "sense of humor to boot") you sound perfect for a position at a Microsoft store. People make mistakes and fortunately apple has many kind employees that are willing to forgive those mistakes.

But all kidding aside, you sound perfect for a position at best buy. (what I said about apple employees wasn't part of the joke)

garylapointe
Oct 4, 2011, 07:27 PM
Apple's plan:
- $100 for two years.
- $50 per incident, maximum of two.
- Must sign up within 90 days of purchase.
- You deal with the Genius Bar. Annoying if you hate crowds or hippies, but there is always a chance they will just replace your phone for free without it counting as a claim.

I will probably just get the AppleCare again.

I'd rather my extended damage warranty be with Apple and not SquareTrade (which is about the same price, but they offer prorated refunds, I don't remember what they have as a "deductible"). I think I'll be getting this.

Above it says "Basic AppleCare for the iPhone, which is no longer available" so I think the only choice will be the AC+

And I'd swear I read earlier that it needs to be purchased at time of phone purchase, but now I can't find where I read that...

Gary

fblack
Oct 4, 2011, 07:34 PM
So, then its only really good for 1 break? At $49 a pop you break it twice + ACare basically equals the price of a new phone or did I miss something? Not a bargain that's for sure.

Hmmm...$99 ACare for iPhone vs $119 with ED discount for my iMac. Somehow I'm kinda feeling ripped off with the 4S especially since I paid $69 for my 3GS. So, since Apple Care is now more are they trying to tell me that the 4S breaks more easily? Since its the same design as the iPhone 4 I think I may wait till iPhone 5 shows up.

mtbgtr
Oct 4, 2011, 09:31 PM
I forgot to mention that my wife was prepared to buy a new or refurbed one and told them so. They took the electronic pile back in the offices behind the genius bar and came out with a new one, no other questions asked. Apple may have its faults but customer service, at least for my family's Apple habit, has been second to none. Maybe it helped that I have purchased four computers, two iphones and numerous iPods from the same store?

Fofer
Oct 5, 2011, 02:55 AM
[SIZE=1]Square trade is all I use...

I got SquareTrade for my iPad, Apple's out-of-warranty replacement for those is outrageous. And SquareTrade charges no deductible for iPads.

I did NOT get it for my iPhone (returned the policy after I did the math, and realized they charge a deductible for iPhones.) Since out-of-warranty replacements (for water damage, for example) is $199, SquareTrade's price plus its deductible would have to be much cheaper for it to make sense. As it stands too, I can go to a 3d party and get a broken screen repaired for less than $100.

senseless
Oct 5, 2011, 07:30 AM
Is this certain that the replacement, still in contract price, is just $200? I thought it was closer to $600 unless it was subsidized.

easy-mac
Oct 5, 2011, 07:55 AM
I was really excited about this until I read the fine print. From the AppleCare+ page:

Important Note

AppleCare+ must be purchased together with new covered equipment. See AppleCare+ Terms and Conditions for complete product details.



I guess people who like to wait until the end of the warranty period to buy AppleCare will have to come up with the extra cash when they purchase the phone. I wonder how many people will spend the extra $99 on AppleCare+ who would have otherwise spent it to increase the storage capacity and then bought AppleCare later?

Oh well, Apple will probably sell more AppleCare this way and that's what they're going for here since the margins are much bigger.

Fofer
Oct 5, 2011, 08:44 AM
Is this certain that the replacement, still in contract price, is just $200? I thought it was closer to $600 unless it was subsidized.

Yes, out-of-warranty replacements are $199. That would cover something like water damage. But not loss, or theft.

AppleCare+ doesn't cover loss or theft, neither does SquareTrade...

spblat
Oct 5, 2011, 04:22 PM
I am not sure what they do in case of water damage, but Apple stores usually replace the phone for $199 if you have a cracked screen or buttons that stopped working etc. If you buy AppleCare+ and have an accident, you'll end up paying $148, savings of only $51. If you do not suffer any damage, then you will end up paying nothing versus losing $99 with AC+. In other words, risk your $99, so that you may save $51 overall. Not a great deal.

Solid analysis. But I don't know for sure whether water damage is even covered by AppleCare+.

AppleCare+ for iPhone provides coverage for up to two incidents of accidental damage from handling. Each incident is subject to a $49 service fee.
Damage from handling? Sounds like "I dropped it." Doesn't exactly sound like "I handled it...into the toilet." Any definitive answer about this? Maybe in the 10 pages of contract when you buy it?

Fofer
Oct 5, 2011, 04:33 PM
I am not sure what they do in case of water damage, but Apple stores usually replace the phone for $199 if you have a cracked screen or buttons that stopped working etc. If you buy AppleCare+ and have an accident, you'll end up paying $148, savings of only $51. If you do not suffer any damage, then you will end up paying nothing versus losing $99 with AC+. In other words, risk your $99, so that you may save $51 overall. Not a great deal.

Basically the same deal as SquareTrade. I agree with you; I'll pass.

senseless
Oct 5, 2011, 06:00 PM
$100 plus deductible to cover a potential $200 loss? I'll survive without it.

charlituna
Oct 5, 2011, 11:14 PM
Is this certain that the replacement, still in contract price, is just $200? I thought it was closer to $600 unless it was subsidized.

THe replacement isn't a new retail box and doesn't require updating your contract.

Basically they are letting you buy the service part they would have given you had you not dropped your phone or gotten it wet.

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Oh well, Apple will probably sell more AppleCare this way and that's what they're going for here since the margins are much bigger.

I'm not so sure the margins are bigger. Apparently they do huge amounts of replacements of damaged phones so many more folks will use that side of things than the defect side. Given that they are charging 1/4 of what was supposed to be 'at cost' before AND the insurance encourages folks to buy the coverage and thus be able to get warranty coverage for longer (which also is often a replacement), they could be at the same or slightly less when it comes to margins