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With cell phone prices rising, you might hold on to your device longer. Here’s how to get the most value from your phone for as long as you own it.
By
Sean Jackson
Edited by
Carla Ayers
Published
11 August 2026
In
Guides
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The average person holds onto their smartphone for two to three years. However, with component prices rising due to AI data centers gobbling up resources, your next phone upgrade will likely cost quite a bit more.
How much? FDM CCS Insight found that entry-level smartphones have increased in price by more than 50% since last year. This means that as more people hold onto their phones longer or look at the resale market for replacement options, the care you give your device can make all the difference in the value you receive when you're ready to part from it.
If you're looking to get more value out of your device while you own it and when you trade it in, I am going to show you an overlooked component that might add more value than it costs.
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Sign upA different way to look at your smartphone protection
Mobile devices are subject to significant daily risks. From frequent travel to the simple reality of accidental drops and physical wear, smartphones are often traded in to keep up with performance demands. However, doing so through a cell carrier frequently resets the duration of your service contract.
Because I tire of being stuck with the same carrier for longer than I have owned some cars, I decided to look into cell phone insurance. And to my surprise, it does offer some value.
I don't think of it as just another bill, but as a hedge against depreciation. A cracked screen or an older phone with a worn-out battery will significantly impact its trade-in value by hundreds of dollars.
Without coverage, a minor accident forces you to consider expensive options: Either pay out of pocket for a repair or do an unplanned upgrade. By having insurance, you are actively protecting your asset's residual value. It means when you're finally ready to trade it in, you're holding a device in peak condition, which will fetch you significantly more money.
Where to compare: Smartphone and Device Insurance Providers
- AppleCare+: Apple devices and authorized repairs
- Carrier protection: Coverage through your wireless provider, often administered by Assurant.
- Worth Ave. Group: Independent phone insurance
- Samsung Care+: Galaxy devices and authorized repairs
How much does cell phone insurance cost?
Having cell phone insurance gives you a cheaper way to maintain your device through the life of ownership. So, what cell phone insurance providers are there? Here's a quick breakdown:
Swipe to scroll horizontallyProvider
Typical coverage
Best for
AppleCare+
Accidental damage, battery service and technical support. Theft and loss are available with a separate AppleCare+ with Theft and Loss plan.
Apple users who want Apple-authorized service and repairs
Carrier protection (often administered by Assurant)
Coverage varies by carrier and plan but can include accidental damage, mechanical breakdown, theft and loss.
People who want phone protection bundled with their wireless service
Worth Ave. Group
Coverage can include accidental damage and theft, subject to the policy's terms and exclusions.
People who want to compare independent insurance with carrier and manufacturer plans
Samsung Care+
Accidental damage and mechanical breakdown. Theft and loss are available with eligible Care+ Theft and Loss plans.
Galaxy users who want Samsung-authorized repairs and genuine Samsung parts
Coverage, costs and deductibles vary by device and plan, so compare your options before enrolling.
But before signing up for insurance, do a device audit. Find out the resale value to determine if insurance is even worthwhile. You don't want to add another monthly payment to protect something only worth a few hundred dollars.
However, since most devices should last you between three and five years, it's worth a closer look if you plan to hold on to your current one longer. This is why shifting the mindset from 'paying for insurance' to 'managing an asset' changes how you view your tech, and can save you significantly when you're ready to upgrade.
Insurance isn't just about peace of mind; it’s a tool to protect your investment. Before you sign up, check your credit card benefits or homeowners policy (which can recover costs from theft, fire or vandalism), then pick the plan that best fits your risk tolerance and your wallet.
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Sean JacksonPersonal finance eCommerce writer Sean is a veteran personal finance writer, with over 10 years of experience. He's written finance guides on insurance, savings, travel and more for CNET, Bankrate and GOBankingRates.