We finally got an official answer from SquareTrade as to what happens if your phone costs more than $399.
As PhoneNews.com has covered in the past, SquareTrade has begun offering “marketing pages” for both standard cell phones as well as iPhone 3G. These pages are designed to make it easier for the typical customer to purchase a phone. However, more recently they have slipped in that these pre-filled order pages have a maximum claim amount of $399 (or $499, only in the case of the 16GB iPhone 3G).
As PhoneNews.com has reported for years, the full replacement cost of an iPhone 3G can easily reach $699. SquareTrade refundes for phone prices based on an estimate of a carrier’s subsidy (averaging $399), with a new two-year agreement. However, for readers of PhoneNews.com, who often prefer unsubsidized handsets, this winds up being only partial coverage.
Today, SquareTrade confirmed to PhoneNews.com that they will once again accept cell phones of any value, allowing customers to enter the full unsubsidized amount of their coverage.
The official process, as explained to us, is to go to SquareTrade and select Other -> Other Electronics as the type of device that you wish to purchase a warranty on. Then, enter the unsubsidized (full retail) price of the phone, and complete the order process.
This process was previously thought to be dangerous, and potentially could result in a disqualified warranty claim down the road. However, SquareTrade has assured PhoneNews.com that it is the correct procedure. Expensive phones such as the Touch Pro2, iPhone 3G, and others can now be warrantied (with accidental damage coverage), for their full purchase price.
PhoneNews.com has repeatedly suggested adding an option to SquareTrade’s “marketing pages” that allow the user to enter a different (higher) unsubsidized handset price. This would remove customer frustration when they find that they’re only getting $399 back on their $799 Omnia HD.
Be sure to use coupon code ALWAYS10OFF when purchasing, in order to save 10% on any SquareTrade warranty purchase…