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In addition to perks like earning rewards and statement credits, some top credit cards also offer the under-utilized perk of cellphone insurance. This benefit can provide additional security when your cell phone is lost or damaged. Here’s a breakdown of the best credit cards for cellphone insurance and how to choose the right one for your needs.
Comparing the best credit cards with cellphone insurance
Take a look at some of our top choices for credit cards with cellphone insurance, complete with coverage, claim and deductive limits.
| Card Name | Best for | Cellphone protection | Annual fee | Bankrate Score |
|---|---|---|---|---|
| Chase Freedom Flex® | Bonus cash back |
|
$0 | 4.8 |
| The Platinum Card® from American Express | Luxury perks |
|
$695 | 4.8 |
| Capital One Venture X Rewards Credit Card | Travel rewards |
|
$395 | 5.0 |
| Wells Fargo Active Cash® Card | Flat-rate rewards |
|
$0 | 4.3 |
| Ink Business Preferred® Credit Card | Business owners |
|
$95 | 4.4 |
Top credit cards with cellphone insurance
How to choose the best credit cards with cellphone insurance
While many cards offer cellphone insurance, there are differences in each issuer’s offering. Consider these factors when choosing which credit card with cellphone insurance is right for you:
Take some time to understand the details.
- Read the fine print. Like with any form of insurance, you’ll want to read the fine print to spot potential “gotcha” scenarios. Having your claim denied due to a technicality can be highly frustrating.
- Make sure you’re comfortable with your deductible. Your deductible is the amount you’ll be responsible for paying out-of-pocket, so you’ll want to make sure you can pay your deductible when considering a card with cellphone insurance.
- Know your coverage limits. There are three limits to pay attention to: your maximum amount per claim, the annual coverage limit, and the number of claims you can make in a calendar year. The math doesn’t always add up on some cards, meaning you could have a card with two claims per year at an $800 maximum per claim but an annual limit lower than $1,600.
- Pay your bill with your card. Cellphone insurance coverage on your credit card is only activated when you pay your entire cellphone bill with your credit card. While coverage on some cards takes effect the day after paying your bill, some cards may only become active at the start of the following month.
What’s covered with cellphone insurance
Having a good understanding of your coverage can prevent headaches when issues arise.
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- Costs to repair or replace your cell phone when damaged
- Costs to replace your cell phone when stolen (police report usually required)
- Costs to replace your cell phone when it is unrecoverable due to involuntary or accidental parting (think dropping it into a river or similar situations)
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- Anything on a cell phone not paid fully with the eligible card
- Cosmetic damage that doesn’t impact the phone’s capabilities or functionality
- Cellphones that are leased (not including phones purchased on installment plans) or purchased for resale
- Accessories other than the standard battery
- Mysterious disappearances without evidence of a wrongful act or intentional damage
- Employee phones that aren’t listed on the monthly bill
- Theft from checked baggage
- Losses covered by phone warranty
Frequently asked questions
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Cell phone insurance generally covers a range of incidents for different cell phones, but specifics can vary based on the provider and policy. However, coverage may be limited by the phone’s age, make, model, and condition, and certain modifications or repairs could void the policy. Always check the details of your insurance plan for exact coverage limitations.
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Your need for additional cellphone insurance depends on your credit card’s coverage scope and limitations. If it sufficiently protects against theft and damage, using your card to pay the bill may be enough. However, consider extra coverage if your card’s policy has restrictions, such as coverage exclusions, reimbursement limits, or high deductibles. Always review your card’s insurance details, as credit card coverage is often secondary.
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Secondary cellphone insurance kicks in after other insurance policies, like your phone carrier’s protection plan or your homeowner’s/renter’s insurance, are exhausted. Coverage typically has limitations on amounts, number of claims, and types of covered incidents, and deductibles may apply.
What’s next?
Enter some basic information into CardMatch™, Bankrate’s prequalification tool, to find a card that best suits your needs. For more insight, our Spender Type Tool can point you in the right direction.
The bottom line
While cellphone insurance shouldn’t be the sole reason for choosing a credit card, it can help you recoup some cash on your phone in the event of a covered event.
*Although not stated explicitly in the public benefit terms, this maximum annual coverage limit is implied by the maximum coverage per claim plus the maximum number of yearly claims. Check with your issuer to be certain of your potential annual coverage.
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