Insurance Carrier: iPhone Owners Smashing Them to Get Upgrades

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An iPhone insurance carrier by the name of Supercover Insurance said that as many as four in six claims are “suspicious,” and that the rate gets worse whenever a new model appears on the market, according to Tom’s Guide. The carrier said that it saw a 50 percent increase in claims during the 30 days following Apple’s announcement of its latest iPhone 3GS model last summer.
“While most customers take out insurance because they value their iPhone, we started to notice increases in claims as new and upgraded iPhones were launched,” said Carmi Korine, director of Supercover Insurance, in the report. “For short periods around new model or upgrade launches, claims to replace lost, stolen or damaged iPhones go through the roof.”
In other words, some iPhone owners decide that they don’t want to wait for their two-year contract to expire in order to get upgrade pricing, and don’t want to pay full list for a new phone either–so they smash the phone, file a claim, and replace the phone with the latest model.
The carrier spokesperson said in the report that some destroyed phones received by the company were hit with a hammer at least six times, and one was even “dropped on the pavement and then run over by a car.” (Sorry about that, guys–oh wait, that was a different phone.)
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