Smartphones today are more than just gadgets — they’re our wallets, cameras, offices, and lifelines.
With flagship devices in India costing ₹80,000 to ₹1,50,000+, losing or damaging one can feel like losing a month’s salary.
That’s why mobile phone insurance has become popular. But in 2025, is it really a smart safety net or just a money-making gimmick for insurers?
The truth: it depends on your phone’s value, your lifestyle, and the policy fine print.
What Mobile Phone Insurance Typically Covers
| Coverage Type | Details |
|---|---|
| Accidental Damage | Screen cracks, water damage, drops |
| Theft | Coverage if the phone is stolen (police report required) |
| Loss | Some policies cover loss, but this is rare |
| Extended Warranty | Covers manufacturing defects after standard warranty ends |
What’s Usually Not Covered
- Minor scratches or cosmetic damage
- Theft without proof (no FIR)
- Damage from negligence (e.g., leaving your phone in public)
- Unauthorized repairs at local shops
- Fraudulent or exaggerated claims
Pros & Cons of Mobile Phone Insurance
Know the benefits and drawbacks before you buy.
Pros
- Peace of Mind — Especially for expensive flagships
- Financial Relief after accidental damage or theft
- Extended Device Life without huge repair costs
Cons
- High Premiums for premium devices
- Deductibles mean you still pay part of repair/replacement cost
- Slow Claims with lots of paperwork
Case Example
Neha from Delhi bought an ₹85,000 iPhone 14 Pro.
Three months later, she dropped it, shattering the screen.
- Repair Cost Without Insurance: ₹21,000
- With Insurance: ₹18,000 covered, Neha paid only a ₹3,000 deductible.
This worked in her favour because her phone was expensive and she was accident-prone.
Who Should Consider Mobile Insurance?
- Owners of expensive flagship phones (₹60,000+)
- People who often drop or damage their phones, or travel frequently
- Freelancers/business owners who depend on their phone for work
Who Can Skip It?
- Users of budget/mid-range phones — repairs may cost less than insurance premiums
- People already covered via credit card accidental damage insurance or home insurance
eBharat’s Take in 2025
Mobile phone insurance is not a scam — but it’s not for everyone.
It’s worth buying if:
- Repair costs would seriously hurt your finances
- You want peace of mind for frequent travel or outdoor work
- You read and understand the policy exclusions
