Amex Cell Phone Protection vs. AppleCare: We Crunch the Numbers

Insurance may not be the most thrilling topic, but it’s a necessary evil. While some types, like car and health insurance, are essential, others are considered to be optional but can prove to be useful when you least expect it.

Cell phone insurance falls in the latter camp, yet it’s one of the most underrated perks of premium American Express cards. By using an eligible card to pay your monthly cell phone bill, you can file a claim if your phone is stolen or damaged, with coverage limits set by the issuer.

You may wonder: How does Amex’s cell phone protection compare to AppleCare’s coverage? When you purchase a new iPhone, you can add extra coverage from Apple within 60 days of buying it.

If you already have an Amex card with cell phone protection (or are thinking about upgrading to one), you may be wondering if it can fully replace AppleCare. We’ll explore the coverage limits, exclusions, and key details you need to know about this valuable benefit on select Amex cards.

Amex Cards With Cell Phone Protection

Let’s be clear: Not all American Express cards come with cell phone protection. This benefit is exclusively available to the following premium Amex cards open to new applicants:

*All information about Hilton Honors American Express Aspire Card has been collected independently by Upgraded Points.

Amex Cell Phone Protection Coverage Limits

Amex’s cell phone protection is a premium perk available on certain cards with high annual fees. Unlike other Amex benefits, there’s no need to enroll in advance. To activate the coverage, simply pay your monthly cell phone bill with an eligible Amex card.

However, coverage begins the first day of the month after you make that payment. For example, paying your T-Mobile bill on January 18 means coverage starts on February 1.

The plan covers up to $800 per claim, with a maximum of 2 claims per year. Each claim comes with a $50 deductible. It applies only to theft or damage — not loss — unlike AppleCare or other plans.

Theft is covered if your phone was taken and reported to the police within 48 hours, while damage includes issues like cracked screens, hardware problems, or water damage.

Cosmetic issues, such as minor scratches, aren’t eligible for an Amex cell phone claim.

What’s Not Covered

In a nutshell, only damage or theft qualify for Amex’s cell phone insurance. Besides cosmetic damage, there are several other key exclusions that render certain claims ineligible:

• Damage or theft to cellular wireless accessories, except for the battery or antenna
• Cellular wireless telephones that are for resale, professional, or commercial use (on consumer cards only)
• Lost cell phones
• Cell phones that are under the control of a common carrier, such as an airline or delivery service
• Rented, leased, prepaid, or borrowed cell phones
• Intentional or illegal acts, normal wear and tear, vermin damage, or confiscation
• Replacement cell phones purchased from other than the cellular provider’s retail or internet store or designated agent having the authorization to activate the phone
• Losses under manufacturer’s warranty or covered by other insurance — therefore Amex cell phone protection is secondary to any coverage you may already have.

If you do meet all the above conditions, start by calling 833-784-1467 to file a claim within 90 days of the damage or theft incident.

AppleCare Coverage Limits

When you buy a new iPhone, you’ll be asked whether you’re interested in purchasing AppleCare, which you can sign up for within 60 days of purchase.

For iPhones specifically, there are 2 types of coverage options: AppleCare+ and AppleCare+ With Theft and Loss. The cost depends on your specific iPhone model, and you can pay monthly or as a one-time payment for 2-year coverage:

When you do the math, the 2-year plan is the most cost-effective in the long run. However, if you’re buying your new phone outright, adding 2 years of coverage up front might feel overwhelming.

What AppleCare+ Covers (And Doesn’t Cover)

AppleCare+ is the most affordable option for cell phone coverage but only covers damage, but that does include cosmetic issues. Whether it’s a cracked screen, a minor dent on the back, or a hairline fracture, you can file a claim with AppleCare+, which is notable because Amex’s cell phone protection doesn’t cover cosmetic damage at all.

There is a deductible, as with Amex’s cell phone protection, so claims aren’t entirely cost-free: Screen or back glass repairs cost $29, while other types of damage cost $99, plus tax.

To decide if AppleCare+ is worth it, consider how much cosmetic damage bothers you. While minor damage can certainly be frustrating, AppleCare+ provides affordable repairs or replacements to keep your phone looking new.

If cosmetic damage isn’t a big concern, relying on Amex’s cell phone protection might be a better choice. This complimentary coverage not only covers hardware issues but also extends to major issues like cracked screens or theft.

What AppleCare+ With Theft and Loss Covers (And Doesn’t Cover)

If you frequently lose important belongings (like I do), you might want a higher level of coverage. AppleCare+ With Theft and Loss does exactly that: protect you in case you lose your phone.

With this plan, you can make unlimited accidental damage claims and up to 2 theft or loss claims every 2 years. Service fees are the same as regular AppleCare+ ($29 for screen or back glass repairs and $99 for other damage), but theft and loss claims cost $149 plus tax.

Amex cell phone protection doesn’t cover lost phones, so if you often misplace your phone, AppleCare+ With Theft and Loss might be worth considering.

You can expect to pay $149 to $269 for the 2-year plan, plus $149 for each theft or loss claim. This can feel like a lot to spend on the chance you might lose your phone, but it ultimately depends on your personal risk factors. With the lowest-priced iPhone around $500, consider whether you’re comfortable going without extra protection — especially if you’ve got a higher-end model with more storage.

Is Amex Cell Phone Protection Worth It?

Remember that every iPhone includes a 1-year limited warranty for hardware repairs and up to 90 days of complimentary technical support. So if you have a card with cell phone protection, you may already have solid, temporary coverage from the manufacturer, followed by Amex’s protection afterward.

Therefore, you may wonder if Amex’s cell phone protection is comprehensive enough. Ultimately, it depends on the type of coverage you need, and comparing Amex’s protection with AppleCare can help clarify your choice.

It’s great that Amex covers cracked screens — one of the most common reasons for replacing a phone. Although theft is less frequent, it could be a significant risk if you travel often.

For most people, Amex’s cell phone protection will likely be sufficient. With a $50 deductible, it’s pretty affordable considering there’s no monthly (or annual) premium to pay.

However, if you tend to lose things often, upgrading to AppleCare+ With Theft and Loss might be worthwhile over the basic AppleCare+ plan.

Final Thoughts

Cell phone protection isn’t perfect, but it’s invaluable when you need it most. Amex’s coverage has notable exclusions, like loss and cosmetic damage, which might lead you to consider other coverage options. For now, I’ve chosen to rely on Amex’s cell phone protection, though that might change if I decide to upgrade to a new iPhone down the line.

For the cell phone protection benefit of the Delta SkyMiles^® Platinum American Express Card, Delta SkyMiles^® Reserve American Express Card, Delta SkyMiles^® Platinum Business American Express Card, Delta SkyMiles^® Reserve Business American Express Card, Hilton Honors American Express Aspire Card, Marriott Bonvoy Brilliant^® American Express^® Card, The Platinum Card^® from American Express, American Express^® Business Gold Card, and The Business Platinum Card^® from American Express, coverage for a stolen or damaged eligible cellular wireless telephone is subject to the terms, conditions, exclusions and limits of liability of this benefit. The maximum liability is $800, per claim, per eligible card account. Each claim is subject to a $50 deductible. Coverage is limited to two (2) claims per eligible card account per 12 month period. Eligibility and benefit level varies by Card. Terms, conditions and limitations apply. Please visit americanexpress.com/benefitsguide for more details. Underwritten by New Hampshire Insurance Company, an AIG Company.