Is it Worth Buying AppleCare+ for iPhone X?

[Ramchi]

Just purchase a solid case($20-$30) and paste a tempered glass($10) on the screen from the very first moment you start using any expensive mobile, that's it!! That's your Apple Care or Google Care or Nokia Care!

Once, took extended warranty through a third-party for my Nexus 6P, they refused to even accept the battery swelling issue (screen popped up, hence considered physical damage not part of the extended warranty).

Complete waste of hard earned money!

 

[predation]

Lot of good responses in this thread. I'm personally going to get the Applecare+ for my X this Fri:

- Agree that for the "average person", buying insurance for potential expenses that you can afford (ie. cracking case) is typically net-negative. Insurance is better spent to cover yourself against catastrophic losses (the "black swan" scenario), and assuming "average" break probability, you'd be better off self-insuring
- But this is for the "average person". Some people are more accident prone than others (people with young kids, clumsy people, etc.) - for these people, they are at "higher risk" for damage and making a claim. And with AppleCare+ everyone pays the same amount - Apple doesn't assess your risk and charge you a higher / lower premium based on your risk profile (like they do with car insurance, or life insurance). So if you are one of these higher risk people, your AppleCare+ cost is being "subsidized" by the lower risk people, and it may make more sense financially to get it
- While I've never gotten AppleCare+ on any of my iPhones and I've only cracked the screen once, I now have a 2yr old that has grabbed my phone and dropped it a few times (and just luck that it hasn't broken) - given my environment, I plan to get it this time

Dropped?
How about my kids throwing the phone down the stairs thinking it’s funny how it bounces. Lol

 

[DynaFXD]

I didn't read all the responses, but the article could also include the cost of _past_ AppleCare+ purchases in the decision. That is, if you never bought AppleCare, then the money you saved would more than make up the difference of the with versus without costs for repair. If you always buy AppleCare, then yeah, this article does a good job of pointing out the rather small difference in cost to repair (IMHO). Point is, extended warranties are priced so that the company wins in the long term and maybe a few cases are genuinely saved some money. If you never buy any extended warranties of any kind, you'll be self financing any future costs of repair under most circumstances.

 

[cmwade77]

Or you can pay $159 at Squaretrade and get coverage for three years and $25 per incident deductible.

 

[IJ Reilly]

I didn't read all the responses, but the article could also include the cost of _past_ AppleCare+ purchases in the decision. That is, if you never bought AppleCare, then the money you saved would more than make up the difference of the with versus without costs for repair. If you always buy AppleCare, then yeah, this article does a good job of pointing out the rather small difference in cost to repair (IMHO). Point is, extended warranties are priced so that the company wins in the long term and maybe a few cases are genuinely saved some money. If you never buy any extended warranties of any kind, you'll be self financing any future costs of repair under most circumstances.

This is true, but of course for many, the $200 they didn't spend on the extended warranty will be spent on something else in short order. So perhaps in their hearts they know that the $200 cost of the warranty had better go on the credit card today because they probably won't have it tomorrow. It's difficult to come up with a more financially unwise move than paying for an extended warranty on credit, but that's exactly what many do. Providing financial advice to people who never save a dime, no matter how much they make, is really just piddling into the wind.

 

[bandrews]

Yea im sure for an extra £29 ontop of your purchase price you can have a brand new replacement Apple Watch if you run over it or drop it in a grinder, or what ever. Sure they are going to give you a new watch. Believe it when I see it springs to mind.

Lols. It’s John Lewis, not some dodgy third party, web based insurance provider. But whatever.

 

[ctone]

As with virtually any form of insurance, AppleCare+ only pays for itself in the event you accidentally damage your device.

This statement is incorrect. AppleCare+ also extends the warranty coverage period, so it covers more than just accidental damage to the device. It isn't just "insurance".

 

[manu chao]

You buy insurance to cover catastrophic events only. When I buy car insurance I get the highest deductible available like $1000. Buying AC in case you break your screen once is a waste of money. You’ll have to be the type who breaks the screen a couple times in a year.

But yes in general insurance are never worth it. You better have a darn good reason to buy it. Because 2/3 times you loose.

I'd rephrase that first sentence of yours: You buy insurance for rare events. For things with a probability of less than one (over a reasonable time period). If something is likely to happen twice over, eg, a five-year period, you might as well just account for it in your budget and make sure you have enough cashflow to cover it.

But insurance can also serve as a protection against bad luck. For example, there might only be a 20% chance you break the back cover glass of the iPhone X over a two-year period. But when it happens to you twice, you might end up paying more for repairs than the initial purchase price. Of course, if that 20% number is right, over a ten-year period (which might mean five iPhones), you'd only have to pay for a replacement once. Bad luck might really only be bad luck, but it can also be an initial underestimation of the likelihood of an event.

Paying for an insurance is like putting an upper limit on what you want to spend on something. Such a spending cap might not be rational but it is a way our brain simplifies complex tasks, by compartmentalising. In a similar sense it is a hedge against an estimation error on your side (which would be that your 'accident' rate is close to the average or lower).

In a similar vein there is the peace-of-mind argument. Having an insurance might make you more content ('happier') than knowing over your lifetime, you'll end up with more money by not buying certain types of insurance. The mind isn't always rational and sometimes it is easier to be rational about your irrationalities than trying to change the irrationalities.

 

[doelcm82]

What a random thing to say

So you will have your phone out while your kid randomly runs into traffic? Cmon you have to think of a more realistic example than that

Oh yes, it’s very random! Of course it is not always traffic. It might be an aggressive goose who is interested in your child’s sandwich. Or one twin trying to climb the Christmas tree. Or two triplets fighting (or even all three). Traffic danger may only come once a week, but a dozen other random distractions or dangers every day keep me from putting the care of my phone first and foremost.

I do have my phone in hand for a lot of it. I use the iPhone camera to capture the many in-between moments when the children are being their adorable selves.

So I’m glad AppleCare has my back.

 

[cub4bearin]

Is it possible to cancel AppleCare+, if one is paying for the phone with Apple upgrade program?
Or is the AppleCare+ pretty much forced on people?

 

[Matthew.H]

Is it possible to cancel AppleCare+, if one is paying for the phone with Apple upgrade program?
Or is the AppleCare+ pretty much forced on people?

It's required on the IUP. One reason I wouldn't consider using the program to buy a phone. I haven't broken a single phone in the 10 years of owning them so for my own situation Applecare Plus isn't worth it. Far better to self-insure and if I do ever need to repair a device, I'll still be better off than if I'd bought insurance.

 

[sn]

why would I buy it? I would rather take the risk, which is a low risk as I've only ever dropped a phone once and that was my iPhone 5s.

Well someone like you probably wouldn't buy it so it sounds like you're quite careful with your phone and are unlikely to damage it. But you aren't everyone. So Applecare is there for other people to buy if they want to.

 

[MrMister111]

Normally always use a skin like BestSkinEver or at least a case and a screen protector.

As m thinking of going on IUP which includes AppleCare+, is there a need for a screen protector now? I'll probably still use a case.

I'm just thinking if upgrade I'd imagine if no cracks and it's normal wear and tear would be ok? Any previous IUP comment on trade in stipulations and state their iPhone's in please

 

[mso4]

Sounds like someone insurance is the only thing that gives you peace of mind so you really have no choice. Insurance companies love consumers like you. They make money by feeding on your fears.

I’ve had 5-6 iPhones for almost 10 years. I used a case for every single iPhone and have never broken a single screen. So once again insurance would be a waste on someone like me. If you break screens or damage phones often buy it. Otherwise 2/3 you loose. That’s just basic math.

I'd rephrase that first sentence of yours: You buy insurance for rare events. For things with a probability of less than one (over a reasonable time period). If something is likely to happen twice over, eg, a five-year period, you might as well just account for it in your budget and make sure you have enough cashflow to cover it.

But insurance can also serve as a protection against bad luck. For example, there might only be a 20% chance you break the back cover glass of the iPhone X over a two-year period. But when it happens to you twice, you might end up paying more for repairs than the initial purchase price. Of course, if that 20% number is right, over a ten-year period (which might mean five iPhones), you'd only have to pay for a replacement once. Bad luck might really only be bad luck, but it can also be an initial underestimation of the likelihood of an event.

Paying for an insurance is like putting an upper limit on what you want to spend on something. Such a spending cap might not be rational but it is a way our brain simplifies complex tasks, by compartmentalising. In a similar sense it is a hedge against an estimation error on your side (which would be that your 'accident' rate is close to the average or lower).

In a similar vein there is the peace-of-mind argument. Having an insurance might make you more content ('happier') than knowing over your lifetime, you'll end up with more money by not buying certain types of insurance. The mind isn't always rational and sometimes it is easier to be rational about your irrationalities than trying to change the irrationalities.

 

[manu chao]

Sounds like someone insurance is the only thing that gives you peace of mind so you really have no choice. Insurance companies love consumers like you. They make money by feeding on your fears.

I’ve had 5-6 iPhones for almost 10 years. I used a case for every single iPhone and have never broken a single screen. So once again insurance would be a waste on someone like me. If you break screens or damage phones often buy it. Otherwise 2/3 you loose. That’s just basic math.

For six years, I've never damaged the glass on any of my iPhones (3G, 4, 5) but I have cracked the screen on my iPhone 6 at least four times in three years, which made me replace it twice. Never used case with any of my phones. This might be because the 6 is larger and more slippery and/or because I got a Fitbit and spend much more time outdoors while frequently checking my iPhone.

The point is that an insurance is a bet and while you might think you know the odds, things can can. And how do you know for sure whether your drop frequency is above or below average?

 

[_Kiki_]

UK Sale of Goods Act etc still gives similar protection.

similar doesn't means the same

 

[haruhiko]

Just checked that my credit card offers free extended warranty to 2 years from the purchase date with each claim up to US$500 for up to two years with annual limit $2,000. I guess this is a much better term than paying for AppleCare+.

The main point is, I don't need to pay anything extra upfront for the 'protection'. If I don't break my phone in two years, my extra spending would be $0. AppleCare+ is $199 plus tax. If I break the screen, it's $0 for me and $228 for AppleCare+. If I need other repairs, it is $79 for me and $298 for AppleCare+.

If you think the iPhone X's price contains a large portion of "Apple Tax", the AppleCare+ plan is purely money printing for them. It is the most profitable business ever.

 

[Archer1440]

It's called consumer protection. Most countries actually have it. You should try it
[doublepost=1509325034][/doublepost]

We talking motorbike here ?

You mean, along with your effective 70% tax rates? Thanks, but no.

 

[Brenn]

My Mom recently told me that someone that an apple store genius told her that The American Express Platinum card will extend the warranty an extra 5 years. While I can't vouch for that because I never asked or used it myself, but but I do know Amex covers 6 months of broken, lost, or stolen which is amazing because I filed a claim after I lost my phone right before the 6months was up.

 

[Zxxv]

Dressing up intentional damage (stepping on it) as accidental damage is being honest?

And you think insurance company’s are honest. How’s that working out for you.

 

[manu chao]

And you think insurance company’s are honest. How’s that working out for you.

It is your prerogative to say that because others act dishonestly, that you will do so too. But it is still dishonest, you cannot escape that label.

 

[Zxxv]

It is your prerogative to say that because others act dishonestly, that you will do so too. But it is still dishonest, you cannot escape that label.

I’m as honest as the day is long.

 

[mdellepi]

Probably a very stupid question...

I've bought my iPhone X in Germany, since I now live here. If I also buy an AppleCare+ for it, what would happen if I moved in another country? Is the extended coverage at least valid at a European level?

 

[manu chao]

Probably a very stupid question...

I've bought my iPhone X in Germany, since I now live here. If I also buy an AppleCare+ for it, what would happen if I moved in another country? Is the extended coverage at least valid at a European level?

Apple's 'warranties' are tied to a device ID and usually are honoured globally (there might be exceptions). Though you either need to go to Apple directly or to an authorised service partner which can reclaim any repair costs from Apple.

 

[bandrews]

Yea im sure for an extra £29 ontop of your purchase price you can have a brand new replacement Apple Watch if you run over it or drop it in a grinder, or what ever. Sure they are going to give you a new watch. Believe it when I see it springs to mind.

Apologies for dragging up this old thread but John Lewis have indeed just replaced (not repaired) my AWS3 LTE after cracking the screen - honouring the £29 accidental damage cover that quoted poster tried so hard convincing me was a scam.

I don't like to say "I told you so" but.... (actually I do, I really do).