Best Deal for Insurance: Squaretrade

[buyrihn]

Originally Posted by Carioca_FL

You are the definition of daftness. Let me spell it out for you:

- coastal regions, specially in the US, have hurricanes. When's the last time you spotted a hurricane off the coast of California?

- due to these elevated risks (wind, flood, etc), insurance policies in this region are orders of magnitute more regulated than the rest of the country. It is a known fact that insurance companies will drop coverage at the slightest indication of frivolous claims.

//edit: for more info, see bryanharig's post on CLUE, a few posts above mine.

Daft? Hardly. "Realize that depending on the number of claims, they can very easily drop you. This is specially true for people (like me) living in coastal areas." You wrote that in response to my suggestion of a State Farm floater insurance policy for the phone. A couple points of contention, if you will (and I won't even say anything about specially not being a word):

See- being close to the beach doesn't affect your phone's insurability. I didn't have an issue with the the first part of your statement, because yes, insurance companies can drop you depending on the number of claims you have. My problem is/was with the coastal areas part- it makes no sense. Just because someone was able to piece together (thanks, palandri!) what you meant to say does not make your statement any less inane.

You apparently were trying to say that if you have to make multiple claims on your phone through State Farm, that in itself could affect future insurance premiums, etc. No argument here, but I fail to see why living in "coastal areas" would affect that. You've now said that "due to elevated risks, the policies are more regulated", but simply having more regulation doesn't affect your phone's eligibility. And if you're thinking "there are more claims here than ___________", maybe you're right, I don't know, but Act of God claims aren't in the same category as "I lost my phone, and I need another one". It comes down to money, and since a full house claim could cost upwards of $300k for the ins. company, I find it hard to believe that you can make enough phone claims to cost them even 1/100th of that amount.

The personal articles policy they have is different than a standard policy, and I'm sorry if I didn't make that clear. However, no matter where you live, if you are insured, then claims can go on your CLUE report. Did you plan on making a claim for very scratch, bump, or bruise? Because that would make you daft (see, I like the word, just not when directed towards me).

One more thing- you said "coastal area", then lambasted me for not inferring that you meant "East Coast coastal areas". Your bad, not mine. And your original response begs the question "How many times do you expect to make a claim?" Suggesting that this State Farm policy wouldn't be prudent for the phone because you may have to make a claim on it, is akin to suggesting that motorcycle insurance, car insurance, or boat insurance would be rather risky to get, because you would be crippled should you have to actually use what you you pay for (your insurance). And that's daft.

[PrinceAlbert]

Small ticket specific-item insurance, extended warranties, and lotteries: all are "stupidity taxes." The companies that sell and/or provide them are preying on peoples fears/hopes, not your sound judgement.

Do the math and research the probabilities. Insure a $199 purchase for $7/mo for 36 mos = $252.00. Plus, after probably 12 mos, who is actually going to replace the same device, instead of getting the next new device?

You're all smart enough to use PDA's, but yet you fall for these "services"? C'mon peeps.

[meyerweb]

I've replaced two Treos through TEP, with no deductibles at all (not even the $10 they're entitled to charge me). I think I would have spent significantly more to buy two new (or even reconditioned) Treos outright. And the second time I got an upgrade to a newer, better, Treo, new in box with all the accessories. So don't tell me I'm stupid.

Speaking of stupid, using $199 as the value is inaccurate. If you lose or destroy a Pre before your two years is up, you won't get a replacement for $199, you'll pay full price. So you're really insuring for $550, not $200. And that's true whether you get another Pre or the "next new device."

Now that the deductibles have been raised, and the monthly fee raised from $5 (when I started) to $7, the equation changes, and needs to be re-evaluated, but it's not automatically a bad deal.

You shouldn't be name-calling when your own argument is so full of holes.

[PrinceAlbert]

I did not call anyone here stupid. There is a difference in saying a person is stupid, and that an ITEM is stupid (what I stated).

reread the post, I didn't say only the dollars, or only the probability of loss, I stated both combined do not compute with the small amount of cost involved. Now, if we're talking large ticket items (house, car, boat - especially if loans involved) then it is definitely good for most people.

The $550 is not relevant if you paid $199 for the device, unless you achieve that highly unprobable event of loss very soon after purchase (which is exactly the fear part of the equation they use to sell this junk). Tech devices are typically not replaced with the exact same device after a short period of time, therefore the best estimate of replacement cost is the actual purchase price [EDIT] plus deductible (if any).

I hope that filled some holes.

BTW - like the tag.

[palandri]

I contacted my State Farm agent. He said that he has never heard of Cell Phone insurance through State Farm and found nothing looking through all his special insurance information. He did say that he would call the corporate office today and ask about it, and call me back.

[buyrihn]

Originally Posted by palandri

I contacted my State Farm agent. He said that he has never heard of Cell Phone insurance through State Farm and found nothing looking through all his special insurance information. He did say that he would call the corporate office today and ask about it, and call me back.

You want to ask him about a Personal Articles policy- there is no "cell phone" insurance that they have. Sorry if I convoluted the issue.

[cglaguna]

I have USAA a $34 rider gives me $8k coverage on all electronics in house, including phones, and covers theft.

[LateNight]

Originally Posted by cglaguna

I have USAA a $34 rider gives me $8k coverage on all electronics in house, including phones, and covers theft.

Yes but if you lose your phone (outside of your house of course) is it covered and if so , what is your deductible to replace?