Until today, everyone knew Revolut to be a company that offered 21st-century banking alternative. As of today, it also got into the insurance market. To be more precise, the company launched a new product, cell phone insurance, and it seems to be more affordable than the insurance plans carriers have to offer. The rates at Revolut start at only £1 per week/£42 per year. This translates roughly into $1.35 per week/$56.50 per year. Of course, the insurance payments can go higher for premium smartphones. Even so, they probably won’t get as high as the payments users make at their carriers for the same insurance.
Even though it launched only in the UK at this point, Revolut’s cell phone insurance product covers accidental, water and operational damage everywhere around the world. Smartphone users can start insuring their handsets as long as they are not older than six months. The damaged smartphones will reportedly be repaired or replaced in only two days. This is quite a great thing, as the majority of carriers take a lot longer to replace a product or repair it if that is possible. Given the fact that the insurance payments are also lower, Revolut might just start a successful business.
Those who already use the Revolut app and are Premium users can sign up for the cell phone insurance through the app. They will even get a 20 percent discount. Even though one can sign up for the insurance directly at Revolut, whenever a smartphone user needs its phone to be repaired or replaced, they will need to address their claim to Simplesurance, Revolut’s partner in this business. Simplesurance operates in several countries. The partnership with Revolut could extend to other regions also. It’s not quite clear when this will happen, however, it’s almost certain that smartphone users from other countries will be able to benefit from the cell phone insurance too at one point.
Insuring smartphones is more and more important as they value tends to get higher and higher. Not insuring a $900- $1,000 device definitely seems to be crazy. Hopefully, users will never need to use their insurance, but if they do accidentally damage their handsets, it can come in handy.