The iPhone has long been treated as its own class of device when being insured on the AT&T network. Because of the phone’s marquee status, it was given its own insurance coverage plan that was offered through an independent company.
Now, AT&T is including the iPhone in its standard Mobile Insurance program alongside other phones, reports Macrumors. The new plan will run you $4.99 with a $50 or $125 deductible to be paid on each claim.
Previously the iPhone coverage on AT&T ran $11.99 per month with a $199 deductible. This was pretty much 100% not worth it because Apple’s practice is normally to replace accidentally damaged iPhones for a flat $199 fee. Normally you would get a refurbished model, but those are normally as good as new.
The advantage to the new plan over just having Apple replace the phone, in addition to saving you between $75-$100 on a claim, is that it would also cover theft and loss. This coverage was offered on the previous $11.99 plan as well. By comparison, an extended warranty from a company like Squaretrade would run you about $50 a year and also offers drops, spills and normal-use failures, but not theft or loss.