Gadget insurance: worth it?

Lesson 4 of 13 in our free Insurance guide: a 5-minute money game with the key points below.

This lesson is in the full version.

Free with a code from your uni, college, council, landlord or employer (worth £600/year). Lesson 1 of Insurance is free for everyone.

Questions you'll answer

Phone cover costs £9 a month. How much do you pay over a 2-year contract?

Mo's phone is worth £180. Gadget cover is £8/month with a £75 excess. Which is the smartest thought?

Covers theft only if there's 'forced entry' → Red flag. Phone nicked from your pocket on a night out? Not covered.
Covers accidental damage, loss and theft → Green flag. The full trio. Check excess and limits too.
Replaces with refurbished models only → Red flag. Not always a dealbreaker, but know what you'd get back.
Excess you could pay tomorrow → Green flag. If the excess is £150 on a £250 phone, what's the point?
'Unattended' items excluded — even in your bag under the table → Red flag. Tight definitions of 'unattended' catch loads of people out.