Would you pay AT&T $13.99/month for MobileProtect iPhone insurance -- with a $199 deductible?

AT&T to offer MobileProtect iPhone insurance

BGR got their hands on a leaked AT&T document that purports to show a new iPhone insurance program called MobileProtect that will cost you $13.99/month and include a deductible of $199 for an iPhone 3GS 32GB. ($99 for the iPhone 3G 8GB)

You must enroll in the plan within 30-days of upgrading/purchasing a new iPhone. AT&T is launching this service as: “Lack of iPhone insurance is a leading source of iPhone related customer complaints.”

So does anyone think $168 a year is worth it for a little rebate and piece of mind? Deal or no deal?

[BGR, Thanks to everyone who sent this in!]

Rene Ritchie

Editor-in-Chief of iMore, co-host of Iterate, Debug, Review, Vector, and MacBreak Weekly podcasts. Cook, grappler, photon wrangler. Follow him on Twitter and Google+.

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Would you pay AT&T $13.99/month for MobileProtect iPhone insurance -- with a $199 deductible?

103 Comments

This is not worth it. I would do what I did with my 3GS..Get it from Best Buy. $15 a month but you a get a brand new one with no deductible....If you run it over with a car...you get a brand new phone.

When I dropped my phone and Shattered the screen, the apple store replaced the entire phone for $199. So this is pointless.

I wouldn't dare get this deal. Safeware is wayyyyyyy better. The total cost for 1 year of coverage for my 32gb 3GS is $108.90 and you pay that upfront, no monthly fee. That's a big difference from $168. My deductible is $50, my 1 year premium is $99, and the policy fees are $9.90. A Safeware Mobile Electronics policy protects your equipment in the event of a drop, fall, collision or a variety of other all-too-common types of damage. In the event of a Theft or a total loss, a Safeware insurance policy will provide the peace of mind that the unit will be replaced without deductions for depreciation. Coverage included in quote: theft, accidental damage, drops, falls, collisions, cracked screens, liquid spills, power surge, vandalism, and fire. Coverage for the Apple iPhone is only available in a 1 year term. If you select a multi-year term, the quote will default to the 1 year policy term. And the greatest thing about them versus others is that there's no limit on when you can purchase a policy. Most will give you 30-days of upgrading/purchasing a new iPhone, but Safeware allows you to purchase a policy whenever it's convenient for you. In my opinion, Safeware is the best alternative to mobile insurance for the iPhone!

WTF AT&T the point of insurance is to spread the cost around to other people so it's reasonable to buy the insurance not simply to spread the cost of replacing the phone over two years. That's almost $550 to insure a phone. I might as well just buy two right up front just in case.

I think the high price is because they don't trust their customers (won't agree with or argue the point). Maybe they are taking into consideration people will pretend to have their iPhone lost/stolen just to get another one for a lot cheaper.

Absolutely not, but then again, they're just trying to shut everybody up about a lack of insurance for the iPhone.

The sad thing is that IF this is true...AT&T will end up milking money out of every non tech saavy people who walk in to buy an iPhone, or just people who don't know any better. My iPhone had water damage (32G) and Apple replaced it for $199 and I didn't have apple care.

Welcome to your own self imposed monopoly. Fortunately, there are options for those who aren't mesmerized by shiny things or easily sold by evangelical mass marketing. Thanks for the push Jobs and De La Vega. Now competition can offer the consumer a real choice.

why is best buy better to go through for your iphone? i have never heard this before and am looking forward to my first iphone purchase
thanks in advance

This country pisses me off sometimes, So many people think that someone owes them a living. Its a $700 phone and people cant get that through their fat heads. AT&T is giving you a deal when you get it under contract. And people treat it like a god given right to have a friggin discount. Paying $168 a year and $199 deductible is alot cheaper than paying $699. If you break the phone, fine $200 Your giving something in return. When it gets stolen or YOU lose it, all of a sudden people get pissed off when AT&T doesn't give them a new phone for new contract price. Give me a break, you f@#ked up, so thats AT&Ts fault? You pay AT&T $299 for your 32GB, AT&T pays Apple the $299 and $400 more out of their own pocket. This countries self indulgence sometimes makes me wonder if anyone really appreciates me putting my uniform on everyday to help defend this country, when people are so selfish.

@Lime
While I agree with you for the most part about entitlement especially since AT&T is making such a large investment in a customer when they sign up. But you have to remember, at the minimum plan of say around $80 AT&T pays $400 to Apple for the iPhone and AT&T gets $1920 over 2 years.
And that's just the minimum I would be willing to bet that most iPhone users go with texting. The point here is that insurance is supposed to be cheaper than just buying a new phone. $168x2 + $200 = $536. You can buy an unlocked 3gs for that. That's not insurance.... that's buying a brand new phone over the course of your plan.

AT&T is somoking something that must be really good if hay think anyone will gat raped with that deal what a fraking joke.

Uh... OTTERBOX CASE??? Just buy one of those and keep up with your iPhone. Works for me...

@ anthony. Best Buy has a protection plan for 14.99 a month no deductible that covers everything but lost or stolen. Also u get the reward zone points for ur purchase and people at Bby doesn't work with comission so u know they r not going to lie to u.. Hope to see u as a customer @ Best Buy Mobile (BBYM)...

Welcome to your own self-imposed monopoly. You can't resist shiny objects and you swallow the evangelical mass marketing spewed by the ad industry. Looks like you have grown far too accustomed to lack of choice. Now, de la Vega and his supposed premier network are telling you what you will pay, yet again. It's painfully obvious why our economy is crippled at every turn. Stupid consumers.

@tarique your leaving the iPhone for the evo on sprint!!!!??? Because you don't like the insurance plan AT&T has to offer?? Lol wait till you get to sprint that AT&T insurance plan would have been the least of your worries. Anyway topic at had. No I'm not interested in this iPhone insurance plan it's stupid as hell.

PJ had it right. Otterbox case. My phone has been dropped countless times, hard. The otterbox is actually fractured in several places but it still works awsome. This is not a deal. Best buy would probably be the best bet if you want insurance, though invest in a good case and you reduce your risk considerably.

Lime- I can't believe you're actually justifying AT&Ts price on this insurance where they're so many cheaper alternatives.
The $199 deductible is assinine. Especially when Apple usually gives you a replacement for $199.
Even if that's not the case, the phone might retail for $700 but it's NOT a $700 phone. Just like when a car on the lot has a msrp of $5000 more than what you'll probably end up getting it for at the end.

@lime...If I was a car insurance sales man, I would LOVE to sell you a policy, because I can probably retire off you as a customer for your great logic. Do you know the purpose and theory of what insurance is suppose to be for?

Sheeze....guys, the free market will decide whether AT&T's insurance plan is too expensive or not. And if the majority of these responses are any clue, AT&T is gonna lose on this one.
Besides, there are much cheaper alternatives to protecting your phone than these over-priced extended warranty/insurance plans.

thing is its not AT&T's but Asurion's plan. Asurion provides most major carriers with insurance options for their customers.

And I am sure at&t/greedy azz apple is getting a cut...I have never seen so many delusional people in my life ...Uh December please hurry up and get here so I can leave this company and phone alone

Uh no they do not. Does GM get a cut of your Car's insurance? Out of that 13.99 Ausurion is most likely making 11 while At&t is making like 2.99.
If you are an idiot that buys insurance for your phone then you should enjoy being scammed....
All INSURANCE is a scam.... you pay 8 dollars at VzW and 89.99 for the deductible. if you do the yearly you pay 96 a year for insurance plus 89.99 if your device bites it.

I guess having some type of insurance plan would benefit some people depending on the situation. I NEVER buy ins. or protections plans. Still have my original 3G iPhone. Have a friend that is on his 6th iPhone due to dropping it and cracking the screen.....

AppleCare is the way to go. I had best buy but that's a rip off. Spening over $300 for 2 years protection or $69.99 is a no brainer

13.99 for iphone insurance? lol, the only reason i could see anyone going with apple's insurance plan is because of the name. I currently use www.insuredconections.com and only pay 7 dollars a month and 40 dollar deductible. They cover anything from cracked glass to water damage. If you have a iphone you might wanna look around before going to apple's insurance plan.

While I agree with Lime's point of view, people are not owed sh**! I must agree with most everyone elses point, albeit i wouldn't spew it the way they do, this is not a food deal for insurance. I will not purchase!

You people railing against AT&T are morons. This is not an AT&T provided insurance product, but a separate company providing a product. It's like bitching about At&t because your cable bill is high. Wow, just wow.

Sounds like you guys in the old u s of a is gettin well n truly shafted .… by At&t
First no tethering and now this.
Tell em where they can stick it !!!!
:-)

Why would anyone stick up for AT&T? They've made it very clear they dislike their customers by disabling tethering, lying about data speeds, not providing infrastructure where needed and raising the ETF to $325. I will be leaving as soon as the iPhone is available elsewhere.

Those deductible are WAY too expensive, Asurion is only $90 for a smartphone. I know a lot of you are saying that insurance is a scam, however there are those people that lose or break their phone so it would be cheaper for them to pay the monthly fee and the deductible than to pay about $600 for a new phone.

Tell AT&T to take a hike, I've had iphone insurance from Safeware for over a year and there is also a company called Worth Avenue Group that has iphone insurance at a great rate, Safeware has insured all of my computers for over 5 years and has taken care of me when I had a claim.

I don't think that I would go with this if there are cheaper insurance plans that would cover an iPhone. I currently have a blackberry but am eligible for an upgrade now so I am waiting for the iPhone HD. I have had no complaints about Att and they have worked with me when I needed them to. I've only had maybe 4 dropped calls in 5 years. So hopefully that won't change when I get my new iPhone. Hurry up and announce it Steve!

I do not think people understand that At&t just cant shun Asurion who is their mobile insurance provider as is VzW's, Sprint, and T-mobile. I do not think Asurion wanted to cover the device at all especially since Asurion hiked their prices on Smartphones.
Here is the other thing... Why is it At&t's fault to offer Asurion's products when you have multiple different products by other companies?

I get tired of this, and rebates. Give me the deal up front. As far as insurance, I am going to sound like the crazy realitive hiding money under the matress. With the way things are today, may be that is not so crazy. Before putting money into a insurance plan, I want to know more about the company. You are better off saving the money, and making the intrest. You loose or break your phone, you go into savings to buy another one. Why should some company make money off of yours, when you can do the same thing.

Or you can go to state farm pay yearly fee of like 30 or 40 bucks and you break it you'll get a new one. No deductable.

Consider that AT&T subsidizes the cost of an iPhone in order to offer contract or eligible upgrade prices to purchasers. If your uninsured iPhone is lost or damaged, the entire cost burden for a repacement while within a contract would be yours. You won't be getting a 3G 8 GB replacement, for example, from AT&T or Apple for the $99 contract subsidized price you may have paid. It will cost you full, unsubsidized retail to replace that iPhone, so, yeah, I guess this "deal" is better than nothing.

Don't be a moron with your Iphone. Take good care of it and you shouldn't have to worry about your Iphone deductible.

Why would you pay for this when it's 1) cheaper to add a second line and 2) you can go to youre insurance company and get youre iPhone insured for around $70 a year? That's what I do and I've broken mine more than 2 times and it's still active.

I watch over my 3GS 32gb as much as my wallet and keys. Protect it people and you don't have to worry about Ins. No brainer here. Those that are leaving AT&T for other garbage networks, good riddance I say!

I am not anti-insurance but I am against living beyond my means. Getting an iPhone and a plan with AT&T is expensive enough without the huge premium and deductible this insurance requires. How much are we supposed to pay to enjoy new technology?? We have two iPhones in our household and the monthly payment still catches my breath.
Middle America suffers because of stuff like this. We don't make enough to self-insure and we can't afford protection. Worse yet, if we complain, then we are "unAmerican", "wanting something for nothing" whiners. You just can't win.

Just shows that the more AT&T receives complaints the more they don't get it. Help customers? Nah just gouge 'em and call it a service! I'd rather spend $199 to break contract and get a new shiny iPhone from verizon!

Is it possible that this new insurance policy and jacked up ETF is in anticipation of the new iPhone? After all, the prices of the 3gs are about to drop and the 3g discontinued. I speculate that the new iPhone is going to be hella expensive.

So if my phone isn't stolen, I've wasted $168. If my phone is stolen, it will cost me $367 total to replace it, which is far less than buying a new one. Still, I think I could do more with $168 and continue guarding the phone with my life.
I also just saw an ad on the subway for renter's insurance (I think it was Allstate) that mentioned that renter's insurance also covers you if your stuff is stolen on the subway. I think it said plans are as low as $7/mo. although I haven't done any research on that, seems too good to be true. If I'm going to pay for insurance, I'd rather have all my stuff covered from theft (like my laptop), and also be insured against losing everything in an apartment fire or similar circumstances. Sounds like a better deal than letting AT&T take another dime.

No, of course not. Now that I've said that, I'm sure my phone will fall in the pool later today though.

I bought insurance from InsuredConnections.com yesterday. I had a question. Figuring it was a holiday weekend , I just sent an email. Then owner called me in less then an hour of sending the email. We even had a good iPhone discussion. Check it out everyone, screw ATT. That price is rude!

Wonder what the terms are. After two or more claims, or may be just one claim, poof you get cancled because you are a risk. Insurance companies are in the business to make money, not pay it out. The only way to get a great deal is to have iPhone covered by all the carriers. When at&t is the only player in town, they can charge top dollar.

People always mention the fact that the Iphone is 199 or wahtever but they always forget that it has the highest cost of ownership by far...
anyway EVO can't come fast enough .. with my $7 protection plan and my $100 deductible..

SQUARTRADE !!!! You can buy a multiple year plan and if you upgrade every year like I do you call them up amd they give you a prorated refund. Plus the warranties are always cheaper than anyone you can get through a store and they cover accidental damage. Otherwise Dave Ramsey says to self insure people.

iPhone and Phone Insurance Cover for Lost & Stolen
Ensquared Phone Insurance now offers Smartphone insurance for all devices including iPhone 4.
Ensquared provides Lost & Theft as well as Accidental Damage Cover. The Ensquared Product comes with $1000 claim limit per claim with up to 3 separate claims.
Ensquared offers 1 year, 2 year and Monthly prepaid payment options. Ensquared insures phones up to 90 days old and covers both Locked and Unlocked devices. For more information contact www.ensquared.com

For your people who are wondering about the State Farm coverage on the iphone. You need to realize that yes, you can cover your iphone under your home owners policy but you will have to have a super low deductible. Most home owners policies have a deductible of 1000 or more. Mine is 1500 because my hurband can down construction work. Also, if you file that your iphone has been damaged or stolen on your home owners policy, that will count as a claim! AND.. some insurance companies only allow you to have one claim within so many year, sometimes 3. I work for Farmers and you are allowed 2 claims in 2 years. So, If you claim your phone and then have roof damage and claim it, Farmers will have to drop you because you had to many claims. It's just how the system works. Be aware of what can happen before you add it to your home owners policy!

Hey, anything that covers lost or stolen phones is my friend. I have the worst kind of luck. I'm SO not going to buy 600$ for a damned phone again. Eff that mess.

Don't sign up for this! It is going up to $6.99 per month plus a $199 deductible as of 10/1. They won't tell you this when you sign up!! I was told everything was covered for $4.99 per month with no deductible. Then after being billed, I get a letter telling me the iPhone is not eligible for this rate! The iPhone insurance is $11.99 per month plus a $199 deductible! So if after one year you need to replace your phone, it would cost you $342.88 plus activation fee of $35 and taxes on the total amount. Over $400!!!! Save your money, AT&T lies, and has an insurance partner "Asurion" or "Continental Casualty Company" DO NOT tell you about the "fine print" I love the iPhone, HATE THE COMPANY!!!

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Totally NOT worth it!

The only time I needed to use the insurance was today, when I droppen the phone as I was coming down the attic ladder. The screen is cracked, but the phone works otherwise.

I feel ripped off. I was already paying almost $10 a month for the "insurance" the rep at the Southlake, TX store sold me. He NEVER mentioned the deductible. It sounded like you pay $10 a month, and if anything happens to it, the phone is replaced - no muss, no fuss. WRONG! If I would have known there was a $199 deductible, I would NOT have purchased the coverage. I can get the phone fixed locally for just under $100, so why would I pay $199, plus the $100 or more over the last several months, when I can get it fixed for $100?!

When my contract is up, I will NEVER use AT&T for my family plan again. The rep lied by omission, and that ticks me off. I already got the entire amount refunded to me for the months I paid into it, but I feel AT&T should replace the glass and LCD free of charge, since that's what I thought my $10 a month was for!