We have become a gadget generation carrying around not only our laptops and notebooks but also iPhones, iPads and other tablets and expensive devices. You only need to board a flight to realize how many laptops are displayed at check-in, or climb off the plane and listen to the “beebs” from message alerts on smart phones. We are literally staying connected and on the move all the time!!
This does however not require each and everyone carrying these devices to have a special insurance product to cover against potential loss or damage. In this post we would like to consider the factors which are to decide whether you need to consider insuring your devices.
We need to consider a wide variety of aspects including:
– The value of the laptop, iPad, smart phone, tablet etc
– The risks and perils that might result in loss or damage
– Where ownership rests and who is to carry the consequences of loss or damage…
The decision to insure or not to insure remains a personal decision – we would like to focus on the important factors to determine such a decision!
Considering your circumstances
Insurance is not a one size fits all – and not everyone in possession of a specific asset needs to insure that asset. The biggest advantage of having a laptop or other device for connectivity is unfortunately also the biggest threat to loss – the portability and ease with which they can be carried around make them extremely “snatchable”. No special skills are required to pick up and remove a misplaced or unguarded laptop or smart phone!
After considering your personal circumstances, you will be able to decide whether to insure your laptop or not. You might need to focus on the following:
– If your laptop is part of your remuneration package at work, the employer may insure the laptop, or expect you to insure it.
– Will you be able to afford a replacement if you lose the laptop or other device?
– How old is the laptop and does it still make financial sense to pay a monthly insurance premium?
– Are you protected against loss of data? Often the value is in the data to be found on the laptop and not the machine itself. It was recently reported that well known author Max De Preez reported a stolen laptop – and the true value was in 2 chapters of research for a book on Nelson Mandela and of which there were no backups. The better your backup copies the less the damage should the laptop be stolen!
– How accident prone are you? Do you use your laptop on a cluttered desk, where you also drink your coffee? Do you have pets or kids running around your house?
– How frequent do you take the laptop outside of your home or place of employment?
Understanding the perils facing our devices such as Laptops, Ipad and Tablets
It is important to know what the perils are that could result in loss or damage.
Why would you submit an insurance claim?
The most claims received by insurance companies for damage to laptops, iPads, smart phones , tablets etc are for the following perils:
– Theft – especially where the owner carries the laptop or device around regularly
– Accidental damage from dropping the device, falling over the device, spilling and fire
– Water and flood damage
– Power surges
Remember – The better you care for your device and the more responsible you are in guarding and operating the laptop or device, the less likely you will have to submit an insurance claim!
Warranties are not the same as Insurance Cover
At the time of purchase the owner might be enticed to purchase a special warranty as well! You need to be aware that a warranty is not the same as insurance cover! The basic manufacturer’s warranty usually offers the least amount of protection, and the customer is invited to supplement this with extended warranties
Warranties vary significantly and will typically cover parts and labor costs for a specified period of time. Generally speaking, warranties protect you against defective hardware – e.g. the hard drive dying etc.
Theft, breakage, fire, and other accidental mishaps are rarely covered under a warranty, if ever.
It is very important to read the fine print on both warranties and insurance policies!
The owners of expensive devices such as laptops, notebooks, iPads, smart phones and different types of tablets need to consider their own circumstances and financial needs when making insurance decisions.
Insurance for your laptop may be included in your household insurance, or could be negotiated as a separate policy. We will discuss on Insurance Chat the important aspects to consider, not only in making the decision to buy insurance or not –but also on how to find the correct insurance!
There is a wide range of insurance options available –but don’t forget – the best form of insurance is to take sensible steps to safeguard your connectivity devices!!