I'm on my 2nd Pre. The first, which I got on the Canadian launch day, lasted about 2 months before the volume up button was constantly active. Got a replacement through the protection plan by mail in about 2 days. This one has been working fine since, except for some oreo effect, which doesn't bother me too much. Recently though, every time I would be on the phone, the contacts app would open, conference calls would engage, etc... After a bit of wondering what the hell was going on, I realized the proximity sensor had ceased working. Tried the interactive tests in the info app and sure enough it isn't working. I doctored the phone with no change.

I figured getting another replacement wouldn't be a problem. Then I was told that to replace the phone would cost 150$, because it has been more than a year, hence the Palm warranty is finished. So the Bell protection plan is essentially USELESS:
If you pay 7$+tax/month over the course of the 3 year contract =252$ + tax = 284.45$ (here in Qc).

284$ + 150$ replacement fee = 434$ Which is totally RIDICULOUS. They are now selling the Pre without contract for 299$!

So the only time you get a free replacement is while the phone is still under warranty... You DON'T need a protection plan for this.

I can understand that there would be a replacement fee for accidental damage or loss, but it just doesn't make any sense to charge such a fee if it's a hardware failure...

7$/month ls a hefty premium to pay just to have a new phone shipped to you... STAY AWAY!

I usually stay away from extended warranties and the such, made an exception in this case... Lesson learned... again. I'll get my replacement and cancel the protection plan.