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State Farm insurance on iPhones

eye.surgeon said:
Insurance is meant to protect you from catastrophic loss. Insuring a cell phone is ridiculous.
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Says who? Catastrophic loss coverages are meant to protect you from catastrophic loss. But insurance in general is meant to protect you from whatever contingency the insurance policy is designed for. Why is it ridiculous? It's an ecomonic transaction -- State Farm believes they can make money selling these $30/yr policies and buyers believe that it affords them incremental protection from their perceived risk that is valuable to them.
 
BrightestBear said:
I just called AT&T to ask for a replacement cost quote, and the guy said they don't have a replacement cost set yet because they don't have inventory to sell to anybody, so figuring out how to replace them is not a priority right now.

Also, he said the higher $399/$499 price is also discounted and that replacement phones will probably be around $599 for 8GB and $699 for 16 GB. Has anybody else heard that amount? I hadn't and was surprised to hear it.
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$599/$699 was the no commitment price that they will eventually introduce (you get a locked phone but you don't have to sign a contract)...I suppose that would make sense since when replacing it...you wouldn't want to create a new contract. Seems kind of stupid though.
 
If you are having trouble with this, just sell your iPhone, tell ATT you lost it and buy a new one for 399/499 (once they get some in stock). Then you will be eligible for the insurance and will have made enough money selling your first phone to pay for the coverage for a few years.
 
eye.surgeon said:
Insurance is meant to protect you from catastrophic loss. Insuring a cell phone is ridiculous.
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insurance (n.) Coverage by a contract binding a party to indemnify another against specified loss in return for premiums paid. American Heritage

Don't see "catastrophic" in there -

Man I hate it when these "Holier Then Thou" come in here and belittle other posters.

Your being an ophthalmic surgeon, and that's just a guess, I would think you'd be a bit smarter...
 
eye.surgeon said:
Insurance is meant to protect you from catastrophic loss. Insuring a cell phone is ridiculous.
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I suppose I could understand this statement if I made in excess of 100,000 a year...but seeing as I don't, and it would be slightly 'uncomfortable' to have to replace an iphone for it's retail value if stolen (while in my car) or whatnot...this is a fantastic coverage option, and I hope once everything gets moving and at&t can set a replacement value that this will become viable for most people.

I'm guessing from your screen-name that you obviously could afford to replace the iphone if ever put in that situation...and I think that is fantastic. (you would have earned that with the hours and money you put in school).

Everyone can't be an eye surgeon. :D
 
I used to have this policy and I would highly recommend it. It is relatively inexpensive and there is no deductable. I had it on a Cingular 8125 and, when I lost it, they gave me the option to have them replace it, or get the cash payout and buy myself. The only thing I would caution you on is that, if you take the payout, you can no longer insure phones through the policy. I didn't realize this until after. If you let them repair or replace, then I believe you get to keep insuring. You can also use the policy to cover musical instruments, cameras and computers. They do not cover TVs or AV equipment, however.
 
so, lets say you want to add coverage for a laptop, high-end camera, and 2 iphones.
...are each items listed seperately and each has to meet a certain price tag?...or is the total sum, the insured amount?
 
If I remember correctly, there are different criteria for each class of device. I don't remember what the restrictions are off hand. I know my camers retailed between $200-300 and they both qualified.
 
My state farm agent has a first gen iPhone, as well as his 2 daughters. (We know him well). I'll give him a call and let everyone know what he says about the iPhone 3G.
 
I checked with my SF agent. They will not cover because the purchase price was less than $400. I explained that the replacement cost will be much higher. However, the policy underwriter said no.
 
nickspohn said:
My state farm agent has a first gen iPhone, as well as his 2 daughters. (We know him well). I'll give him a call and let everyone know what he says about the iPhone 3G.
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Awesome, sounds good.

downwardspiral said:
I checked with my SF agent. They will not cover because the purchase price was less than $400. I explained that the replacement cost will be much higher. However, the policy underwriter said no.
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Is it possible that certain agents deal with it differently?
 
thor79 said:
Oooo...I'm going to give this a shot.

I paid full price for my iPhone about $550 with tax. For what...like $2.50 per month I can get a fully insured iPhone...sign me up!

I currently have my truck insured with State Farm.

edit: called my agent...she looked into it but said they don't do any insurance for cell phones.
Going to do some more checking. Any other details on this I might be able to use...such as a type of policy, a specific policy name, or something like that...something that will help them look up the information?
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Sobe said:
I paid full price for the original iPhone in June of last year, and my local state farm agent still refused to cover it.
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Sobe said:
My agent said the same thing.

Then called me back and said, "no."

I do remember a similar thread last year, and I think some people did get State Farm coverage.

So it's probably just how your local office runs their shop.
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To the above and others...Yes State Farm does insure the iPhone if it is over $400 and that includes any electronic device. I have the original iPhone and it is STILL insured for $30 a year. Some of the noob agents just don't know or don't want to go through the process. Insist upon it or talk to the main agent of that State Farm branch. Mine has and will continue to be covered.
Im in KY. I also use State Farm for Auto and Renters insurance.

Good Luck
 
gts197 said:
Is it possible that certain agents deal with it differently?
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Anything is possible. :) The agent makes more money with the more policies they sell (even if it is a tiny policy). I am sure some of them would be willing to find a way to sneak the subsidized price past the policy underwriter. However, I would be concerned about the claim actually getting paid. Insurance companies may find ways to stick to the specifics of the policy and avoid paying out.
 
This will all depend on what state you live in...trust me, I know.

Lets just say I am in a position to know the rules at State Farm....intimately.

Every zone has different rules for cell phone coverage. Some zones (a collection of states) will allow you to add them on a Personal Articles Policy (PAP), others will let you do this if the replacement cost is over a certain amount and require a deductible, and some states will not allow you to insure them at all.

I have a 2 original iPhones and a 3G, and I am not allowed to add them to my PAP due to the restrictions of my zone. We used to be able to insure cell phones w/out restriction, but the coverage was abused and my zone will not allow them at all.

Just FYI as to why you can get very different answers on this board....it is entirely possible that they are all right!
 
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