We all know someone who's had their phone stolen, or accidentally sent it for a swim in the washing machine after forgetting to empty their pockets (true story). The increased financial and (emotional) value of our devices means that insurance add-ons have become the standard with all major telcos, and until recently Telstra was no exception. But last month the company stopped selling its Premium Care Mobile Insurance to personal customers - although it’s still available for business and commercial users - and ceased renewing policies for existing subscribers . Instead of traditional insurance, Telstra now offers customers Telstra StayConnected – what it describes as a new 'swap, replacement and restoration' service for mobile phones and tablets. The twist on regular old phone insurance is that StayConnected allows customers to replace their device up to two times year for any reason at all – your phone or tablet doesn’t have to be damaged or lost.
StayConnected allows subscribers to trade in their device for a service fee of either $100 for non-smartphones, or up to $180 for smartphones and tablets. If a device fault is covered by a manufacturer’s warranty, this service fee will not be charged. Customers just need to call Telstra or visit the Telstra website to lodge a replacement request. A replacement device will be sent out the next business day, with a reply paid satchel so customers can send back their old, unwanted handset or tablet. Repairs are not included under StayConnected, but customers may opt for a repair instead of replacing their device if they’re happy to pay a repair fee. The service also includes 2GB of cloud backup for your device’s contacts, photos and videos, as well as Mobile Security features, for phones and tablets running iOS or Android.
There are two levels of coverage – Telstra StayConnected, which costs $13 per month and includes the above features, or StayConnected Plus, which has a $15 monthly fee and also includes Mobile Tech Support. The downside is it’s unlikely you’ll receive a new device if you do ask for an exchange – Telstra will provide a ‘new or refurbished’ item of the same or similar model as your unwanted device. Customers can sign up to StayConnected within 30 days of purchasing their phone or tablet through Telstra, and are free to cancel anytime without termination fees. The plus for customers is that they don’t need to annihilate their device completely in order to get a replacement, but the fact that they won’t be receiving a brand-new device may be off-putting (although this is the case with most mobile phone insurance policies). Although the word ‘insurance’ doesn't feature anywhere in Telstra’s sales pitch, it’s not dissimilar from the company’s previous insurance offering - in fact, if you consider a 'service fee' the same as an excess, it's basically the same thing. The big difference is that there doesn't seem to be an option for customers with a device that's been lost or stolen. StayConnected may suit customers who are accident-prone and go through devices quickly, but i t's important to remember that you can still claim repairs for a device under its warranty, even if you don't sign up for a protection plan.
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