Long term AppleCare+ costs?

[Christopher Kim]

I think there are times AppleCare+ makes more sense and times less so. Both product by product, and for any given product, person to person and the situation you’re using the device.

I am a bit of an Apple enthusiast, though nothing “too crazy” (I think!). 2021 14” M1 Pro, iPhone 13 Pro, 11” iPad Pro (2018) w/ a Magic Keyboard, Apple Watch Series 5. My wife also has an iPhone 13 Pro, a 2020 iPad Air and a 2020 Apple Watch SE, we have 2 Apple TV 4K’s, and my kids both have older iPads that were mine and handed down when I upgraded.

I’ve only gotten AppleCare+ for my and my wife’s iPhone 13 Pros (we‘re getting it monthly for $9.99/month, and plan to just get for a year or so while we get used to the phones in our daily routine). Similarly with my new 14” MBP, I have gotten the $9.99/month plan, and probably won’t get it for the full 3 years.

That’s all - I’ve never gotten AppleCare+ for any of our many iPads, Apple Watches, or Apple TVs.

I‘m also generally not an “extended warranty” purchaser (almost never get on anything else), but for me, on the new Macs, it made sense (especially with a new re-designed model - FWIW I also got AppleCare+ for the previous 2016 13” MBP that it replaced, also the first gen with that design / butterfly keyboard / touch bar). Similarly with our iPhones, we upgraded from iPhone X’s (4 years!) so I thought it’s nice to have the peace of mind the first year in case we drop it accidentally / crack or break something. Especially for me because I use my iPhone 13 Pro naked without a case. And the fact AppleCare+ can now be purchased on a monthly plan, where I can cancel at any time if I want.

Higher probability in those 2 devices that something could go wrong for my situation. And then on the service side, what I’ve always loved about AppleCare+ (and applaud Apple for doing so), is that in general, they try to find some way / any way, to help you. Whereas I feel with every other “extended warranty” provider a la Best Buy, they’re trying to find a way NOT to help you and deny your claim. As long as you act with kindness, have a reasonable problem that should be covered, and don’t give the Apple employee a reason to deny you, I find they do everything they can to ”process the claim”. And when you do have to use it, they frequently go above and beyond with a generous replacement policy.

So to summarize: it doesn’t make sense for everything, but for those situations where it does, AppleCare+ is a pretty good product in my opinion as far as ”product insurance” goes, especially when compared to everything else out there.

 

[russell_314]

It’s called insurance. If I dropped insurance on my car I would probably save money by paying for the accidents but that would require having that total amount upfront. Most of the time you will lose money on buying insurance because insurance is paid service and the company has to make money on it.

I have AppleCare on my products but I’m a little bit more destructive especially with my phone so I think it’s worth it.

I think there’s circumstances where AppleCare doesn’t make sense. I would say if you know you’re careful with the device and have the money in your bank to replace it without any concern. That means if you can just buy that MacBook Pro like you’re buying a Starbucks coffee then AppleCare doesn’t make sense.

 

[TracerAnalog]

I have had to use Applecare quite a few times in the 25+ years or so of using Apple hardware. I just love the express exchange option; it reduces my downtime to an absolute minimum. Is that worth the price of Applecare? For me it is, but I can understand it is not for everybody.

 

[ctjack]

If I dropped insurance on my car I would probably save money by paying for the accidents but that would require having that total amount upfront.

I think you can't directly compare it to car insurance. Hitting a lawyer, making 300K-500K a year in Porsche 911 gt3 will set you back so much, that the whole life might be not enough to repay for his/her downtime and hospital expenses.
I wouldn't skimp on my car insurance, but i could easily get away with my laptops - will repair it myself, buy cheap win laptop, buy another mac.

 

[G46&Fbnth5]

I purchased around 20 devices in the last 6/7 years, but I have never bought the Apple Care and I would have never needed it. All the few troubles I had were covered by legal warranty.

 

[TechRunner]

I think there’s circumstances where AppleCare doesn’t make sense. I would say if you know you’re careful with the device and have the money in your bank to replace it without any concern.

This has always been my philosophy with AC and most other extended warranties. If I can afford to replace it, I don't bother. If I can't? Then AC, etc. comes into play.

 

[Danfango]

I buy AppleCare on anything we're likely to break which is anything portable. You don't know what the world is going to throw at you, literally. Plus my income is dependent on this stuff working and staying working.

I've made one claim so far and used the express replacement option which arrived next day. As I do on call work my phone needs to be available 24/7 so I've actually got an iPhone 12 sitting here as a backup for my iPhone 13 pro.

A fine example is a good friend of mine who bought himself a nice new 2010 MacBook Pro and was sitting in a Costa coffee shop setting it up. A small child about three tables away threw a drink bottle which bounced off the on the table, then the screen and popped it. He had no AppleCare when he bought it. Expensive day.

 

[MauiPa]

I don’t usually buy extended warranties on anything for the same reason (buying at Costco gives you one for free though). I did buy one for my new 2020 M1 MBP, because it’s new technology and I read about screen cracking - but to be honest, I suspect the screen cracking is from people closing their macs with something inside, like those unnecessary camera lids and then trying to get someone else to pay for repairs. If I am wrong I am covered

 

[macjunk(ie)]

Selling an used Apple device that has warranty is always easier than selling one that does not.

 

[Spotlighter9]

I agree with others here in that assessing the true benefits of getting Apple Care+ must consider the class of product. I think Apple Care+ it is a must for portables (MacBooks and iPhones), especially now that Apple added the + feature, as these products have the added high risk of atypical physical damage that is not easily/inexpensively/conveniently repairable...and the peace of mind that comes along with having protection. It is also a must in new generation/redesigned revision "A" products. It is also a must on a HomePod OG...which is known to have buggy issues and the large risk of bricking with each new OS update. These products are where the risks are the highest and the balance outweighs, IMO.

I also think there is an intangible "good will" component that is missing from this thread's calculation...having Apple Care+ makes Genius Bar visits, repairs, advice, etc much easier...especially for subjective "issues" that a product might be experiencing (e.g., yellow tint displays, coil whine CPUs, loud fans, blurry cameras, weak speakers, intermittent issues, lemons). Issues that can be exhaustingly aggravating to try and prove/demonstrate over the phone or in the bright light/noisy Apple Store environment are more readily accepted under Apple Care+ which often has the ability to simply provide a refurbished exchange that wipes the slate clean. Saving time, energy, brain power on the things that drive us mad has value. This is something that no other warranty provider can provide...just try and explain to Costco/Amex what coil whine is.

 

[wilberforce]

This has always been my philosophy with AC and most other extended warranties. If I can afford to replace it, I don't bother. If I can't? Then AC, etc. comes into play.

I think this is a good approach; it really is the whole point of insurance.
If replacing it is going to be financially difficult or stressful, then get the insurance (AppleCare+) - provided it is a reasonable cost.
Speaking of reasonable cost - many people here in California do not carry earthquake insurance on their homes. The problem is that earthquake insurance is very expensive and has huge deductibles and limited coverage. A lot of people are going to be in a serious financial bind when (not if) there is a major earthquake here in the Bay Area. The insurance companies have run the numbers and are not willing to lose money on what has an eventual near-certainty of occurring.

 

[wilberforce]

Selling an used Apple device that has warranty is always easier than selling one that does not.

Good point! Of course it only helps if you sell it while it still has AppleCare+ coverage, I think 3 years. But a very good idea if you plan to upgrade again within a few years.

 

[wilberforce]

deleted, double post

 

[macjunk(ie)]

Good point! Of course it only helps if you sell it while it still has AppleCare+ coverage, I think 3 years. But a very good idea if you plan to upgrade again within a few years.

Yeah...since i like to have recent machines, I usually buy the lower tier machines with few upgrades (for e.g., I bought a 8 core MBP 14 with 32GB RAM + AppleCare) with the specific intention of getting rid of it after 2 years

 

[fasterthanusual]

I had several occasions over the past few years where I walked into an Apple Store replaced my iPhone due to accidental damage, and walked out within minutes, back on track, like nothing happened … no need to find a repair shop, no worry about the repair shop using genuine parts or if they’ve done a great job with the repair, complete peace of mind … to me Apple Care+ is a must

 

[Buck987]

I had several occasions over the past few years where I walked into an Apple Store replaced my iPhone due to accidental damage, and walked out within minutes, back on track, like nothing happened … no need to find a repair shop, no worry about the repair shop using genuine parts or if they’ve done a great job with the repair, complete peace of mind … to me Apple Care+ is a must

Yes...its an efficient system but for the cost I think it should be. I have a company phone so no issues for me but I just checked the apple care+ cost for the iPhone 13...$179 for two years then either $29 or $99 depending on the damage. Thats a pretty decent mark-up. I get a decent case and in my 10 plus years of having a company iPhone I have never damaged one.

To each his own but my home owns 4 MacBooks ... from a 2012, a couple of M1's and a recent 16" M1 Pro. Non have or will have apple care. And so far none have had a need for it.

 

[now i see it]

Selling insurance has always been a huge profit maker - for the insurance company.
Of course some people get the upper hand when everything goes south, but statistically, the insurance company always wins

 

[Danfango]

Selling an used Apple device that has warranty is always easier than selling one that does not.

I usually sell my second hand devices on eBay with expired or removed AppleCare. They usually sell within 48 hours so I'm not sure that's the case, at least in the UK.

 

[MauiPa]

You purchased the equivalent of 10,000 computers, presumably used by employees who don't have to pay for them (and who treat them accordingly), and you've only had to spend the equivalent of about 15 or so replacements (0.2%) or $3/machine over 11 years? Excuse me if that sounds less than believable.

I'm guessing you've got at least 20% of your team putting up with imperfect/damaged hardware that most consumers wouldn't tolerate. Additionally, you probably have an IT department that fixes stuff and that labor time cost needs to be counted against your overall cost. Finally, who knows about your company's e-waste protocols - you may be discarding computers at "EOL" that could've been salvaged with AC+ coverage.

He did say repair cost not replacement. Most people don’t abuse their computers, so costs should be pretty low, also for businesses, they probably have a three to five year cycle (employees time costs far more than hardware), so the average computer age is probably low. Finally, either the bad keyboard issue was more of a red-herring in the first place, or he bought no machines that needed keyboard replacements? Moral: take care of your toys and they will take care of you

 

[fasterthanusual]

Yes...its an efficient system but for the cost I think it should be. I have a company phone so no issues for me but I just checked the apple care+ cost for the iPhone 13...$179 for two years then either $29 or $99 depending on the damage. Thats a pretty decent mark-up. I get a decent case and in my 10 plus years of having a company iPhone I have never damaged one.

To each his own but my home owns 4 MacBooks ... from a 2012, a couple of M1's and a recent 16" M1 Pro. Non have or will have apple care. And so far none have had a need for it.

i get the impression that there are plenty of “should be” products that never deliver on their promises, so it’s refreshing to see when a product or service does … I’m personally grateful that Apple delivers with Apple Care+, I get a replacement product and minimal wasted time … it’s a no-brainer for me … plus, i noticed that there aren’t many companies offering the same after sales service including their support network of in-person stores … the minimal down time, in itself is a big deal if we’re talking about cost savings

 

[jtopp]

I generally do not buy AppleCare+ (although I have occasionally), and thus sometimes have had to pay for replacements or repairs myself. I thought it might be interesting to add up the total amount of AppleCare+ cost that I have not purchased over the last ten years on Apple products, and compare with the cost I have incurred by not having AppleCare+:

These are the Apple products I and my wife have purchased and their U.S. AppleCare+ costs (that I did not purchase), over the last ten years:

Two 27"5k iMacs: $338
Two MacBook Pros: $558
Three iPhones: $447
One iPhone Pro Max: $199
Three iPad Minis: $207
One iPad: $69
One 11" iPad Pro: $129
Three AirPods: $87
Three Apple Watches: $237
Total: $2,271
~10% sales tax (California): $227
TOTAL AppleCare+ costs not purchased in 10 years: $2,498 $2,271

Total expenses due to not having AppleCare+:
Smashed iPad Mini 1: $380
Less the AppleCare+ damage deductible avoided: -$49
iPhone 6s battery replacement: $29
MacBook Pro DIY battery replacement: $50
TOTAL extra expenses due to not having AppleCare+: $410

Net savings over 10 years by not purchasing AppleCare+: $2,088 $1,861

Of course, maybe I am just extraordinarily lucky and could have a big repair or replacement cost tomorrow which would tilt the numbers the other way, but in any case it is interesting how the AppleCare+ costs can add up over a long period.

Anyone else added up the AppleCare+ costs they have, or have not, paid over a long period? And compared with repair costs paid (or avoided)?

Edit: corrected, sales tax does not apply for AppleCare+

I bought the first retina MacBook Pro 15” and as a second year teacher I skipped AppleCare because I couldn’t really afford it but 2 years later the battery swelled and caused the trackpad not to work on and off. They wanted “500-700” to replace the top case which I didn’t really have to spend so I always regretted not getting the AppleCare then.

So, every laptop I have owned since has apple care in the off chance something goes wrong. I needed up selling it for $500 and found out a month later Apple had a recall on it and was replacing the units with new ones. Back in the day you could open it up and replace parts but now I rather just make sure it’s covered and forget about it. It’s funny I used to be so anti extended warranty but now I have one on any Tech purchase over $600. The one exception was the 5k Lg that broke after 14 months and I’m still going back and forth with a failed repair after I sent it in last month.

 

[choreo]

I am a single freelancer and have been 100% Apple since 1979 (Graphic Design/Web Design/Photography). Spent over $50,000 on Apple computers as that is the core of my revenue. In the past I only bought AppleCare on my 2015 MacBook Pro (but never used it). On my most recent purchases of a 2019 Mac Pro and 16" M1 MacBook Pro, I did purchase AppleCare+ mainly because they represented new architectures.

Looking back over the past 30 years I spent:

Blue Cross and Blue Shield (Health Ins) - over $125,000 [They never covered one penny of my expenses]
Car Insurance - over $30,000 [Never had a claim]
Home Insurance - over $80,000 [They covered $20,000 in hail damage only because all the other homes surrounding me suffered the same storm damage - they have covered nothing else]

After that, the appx. $1,000 I have spent on AppleCare is not so bad!

 

[ANDJOE]

I really appreciate this post!

 

[eddjedi]

I never used to bother with AppleCare back in the days when you could repair your own computer. Since my first Mac in 2002 I have probably replaced a dozen hard drives and RAM due to failure or upgrade. However when Apple went "soldered on" about 5 years ago, I did get AppleCare for my 2016 MBP, and that turned out to be a wise investment because it needed a new keyboard, screen and battery during those three years. Although admittedly all of those items were covered by the Apple quality program, so they would likely have been covered even without AppleCare.

I haven't got AppleCare for my new MBP because I bought it from John Lewis (UK) who give a 2 year warranty on everything. It's a year less than Applecare, but as it's free is a huge saving. If it dies after 2 years, I will have had my use out of it.

Also worth nothing I have never had AppleCare for any of my handheld devices (phones, iPads etc) because every fault they have had (usually batteries) have also been covered by Apple's quality programs, or were cheap repairs anyway.

I did however have an LG 50" 4K TV fail on me literally a week after the 12 month warranty expired in 2018. That hurt.

 

[russell_314]

I think you can't directly compare it to car insurance. Hitting a lawyer, making 300K-500K a year in Porsche 911 gt3 will set you back so much, that the whole life might be not enough to repay for his/her downtime and hospital expenses.
I wouldn't skimp on my car insurance, but i could easily get away with my laptops - will repair it myself, buy cheap win laptop, buy another mac.

Sure you can. It’s just a larger number. If you’re a billionaire buying a $500k Porsche isn’t a big deal. That’s the whole point of my post. From your perspective perhaps buying a $5k MacBook is a trivial purchase but buying a $500k Porsche is not. With some people buying that $5k MacBook isn’t a trivial purchase.

I will agree that more people need car insurance because very few people are billionaires or even millionaires but in the perspective of not being able to easily pay off the device if it’s damaged it’s a similar concept of insurance