Are you constantly worried about dropping your phone or it getting stolen? Maybe you already pay out of pocket each month for cell phone insurance, which at least gives you peace of mind. But you might be spending money on something your credit card will give you for free.
Many credit cards offer free cell phone insurance (and what it covers)
Many credit cards offer cell phone insurance at no additional cost, provided you pay your cell phone bill with that card. And this isn’t just a perk you’ll find with premium credit cards—some cards with no or low annual fees also offer it. This coverage can help you pay for certain repairs (broken screens often are excluded) or if your phone is stolen.
The exact details will vary depending on which card you have, so you should check your card benefits guide to verify, but as a general rule you’ll:
- Need to pay your monthly cell phone bill in full with the credit card that offers cell phone protection.
- Be limited to two claims (and a maximum of $600 to $800 per claim) and a maximum of $1,200 to $1,600 in total claims per 12-month period.
- Be subject to a $25 or $50 dedcutible.
- Need to file a claim to recover an expenses, typically within 60 days of the incident. Theft claims also typically require a police report to be filed within 48 hours of the theft.
As a general rule, cell phone insurance offered through a credit card will not cover the loss or “mysterious disappearance” of a cell phone. If you’re forgetful and are worried that you might simply lose track of your phone, you should consider other cell phone insurance options that will cover loss in addition to damage and theft.
Credit cards that offer cell phone protection
A lot of credit cards offer cell phone protection, but these are some of our top picks.
Premium Cards with Cell Phone Protection ($350+ Annual Fees)
- Capital One Venture X: $50 deductible. Up to $800 per claim/$1,600 a year. Annual fee: $395
- Platinum Card from American Express: $50 deductible. Up to $800 per claim/$1,600 a year (this card’s cell phone protection covers screen damage, which not all plans do). Annual fee: $695
Mid-Tier Credit Cards with Cell Phone Protection (<$100 Annual Fees)
- Chase Ink Business Preferred: $100 deductible. Up to $600 per claim/$1,800 a year. Annual fee: $95
No Annual Fee Credit Cards with Cell Phone Protection
- Wells Fargo Active Cash: $25 deductible. Up to $600 per claim/$1,200 a year.
Bottom Line
Cell phone insurance is a great built-in benefit offered by many credit cards, including some without an annual fee. If you’re paying extra for cell phone insurance or you don’t have coverage yet, consider getting one of these cards so you can protect your cell phone from damage or theft for no additional cost.
