Phone insurance options were limited up until recently, when credit card companies started to get in on the action. Here are a few things to keep in mind about this. PennyGem’s Johana Restrepo has more.
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00:00 (upbeat music)
00:03 Our cell phones might as well be a part
00:05 of our bodies these days.
00:06 Almost everyone has broken their screen
00:09 or phone entirely at least once
00:11 and felt that moment of panic
00:13 because mobile phones, especially smartphones,
00:16 are not cheap.
00:17 As a result, a lot of people wait more than three years
00:20 to replace their phones according to NerdWallet.
00:23 Phone insurance options were limited up until recently
00:26 when credit card companies started to get in on the action.
00:30 Companies like MasterCard, American Express,
00:33 and even retail cards are offering these perks.
00:36 You just have to get the right card.
00:38 Most of the time, you'll have to do things like
00:40 pay your bill with the credit card,
00:42 pay a deductible of anywhere between $25 and $50,
00:47 and file paperwork.
00:48 Keep in mind that some cards don't cover lost phones,
00:52 just damaged or stolen phones,
00:54 according to Business Insider.
00:56 Some damage, like a cracked screen,
00:58 isn't always covered either.
01:00 Before opening a credit card account
01:02 that offers smartphone coverage,
01:04 read the terms and conditions
01:06 and make sure their policy works for you.
01:09 (upbeat music)