Smartphone insurance 2026: is the cover worth it?
A modern smartphone quickly costs over 1,000 euros – a broken screen or water damage can be expensive. Smartphone insurance protects against unexpected repair costs and, depending on the plan, also covers theft. But not every policy is worth its money.
The premium depends mainly on the new price of the device: all providers work with value bands, and the step from one band to the next costs noticeably more. For a device value of €800, the monthly premiums range between €5.49 and €8.87 without theft cover. The rest of the difference lies in the scope of cover, the excess (Selbstbeteiligung) and services such as instant cover or battery-wear cover.
When comparing, pay attention to the billing method: only INZMO really collects monthly. Hepster issues an annual premium, and ERGO even a one-off premium for the whole term. For comparability we convert both to a monthly figure.
Rule of thumb
Phone insurance is worthwhile if the annual premium is at most 10% of the device value. For a €1,000 smartphone, the insurance should therefore cost no more than €100/year.
When does smartphone insurance make sense?
Phone insurance is particularly advisable for:
- High-priced devices: for iPhones or Samsung Galaxy Ultra models over €1,000, the cover can pay off.
- Frequent outdoor use: if you often use your phone outdoors, the risk of damage is higher.
- Children and teenagers: junior phones are statistically damaged more often.
- Professional use: if the smartphone is indispensable for work.
Not worthwhile for
Older devices under €300, or if you already have household contents insurance with electronics cover (Hausratversicherung). Check your existing policies!
What does smartphone insurance cover?
The standard benefits include:
- Broken screen: the most common cause of damage – all providers cover it.
- Water damage: moisture, flooding, liquid damage.
- Drop damage: damage from falling.
- Electronic damage: short circuit, overvoltage, lightning.
Optional extras (often for an extra charge):
- Theft cover: protection against simple theft or robbery – a paid add-on at all three providers.
- Battery wear: included only at Hepster and ERGO.
- Worldwide cover: important for travellers.
The top providers at a glance
Hepster – instant cover and an annual plan with no excess
Hepster offers a broad overall package: instant cover with no waiting period, older and used devices can also be insured, battery wear is included and the annual plan comes with no excess at all. At a device value of €800 that is €7.92 per month – although the premium is invoiced annually.
INZMO – with a genuine monthly premium
INZMO is the only provider with a genuine monthly premium and starts at €1.99 for devices up to €100. The simple app management is convincing, but an excess applies in every claim, based on the purchase price – for theft it is 20 % of the original purchase price. The contract runs for three years at most and can be cancelled monthly with seven days' notice after twelve months.
ERGO – no excess, but only for new devices
ERGO waives an excess entirely and allows terms of one to three years. The catch: the device may be at most ten days old when you take out the policy, and the premium is due immediately in full as a one-off payment.
Not in the comparison
CosmosDirekt discontinued its stand-alone phone insurance on 1 July 2022. ARAG insures smartphones only as part of an electronics package whose premium does not depend on the device value and which includes no theft cover – a direct premium comparison would be misleading.
What does smartphone insurance cost?
The table below shows the monthly premiums for a device value of €800. For your own device value, use the insurance finder at the very top.
| Provider | Without theft cover | With theft cover | Excess |
|---|---|---|---|
| INZMO | €5.49 | €7.99 | Depends on purchase price, theft 20 % |
| Hepster | €7.92 | €10.42 | €0 |
| ERGO | €8.87 | €14.96 | €0 |
Is the premium worth it? A worked example
A simple comparison shows whether insurance pays off. The following example uses freely chosen sample values, not the premiums of a specific provider: a smartphone costs €1,000 and the premium is €8 a month, i.e. €96 a year, just under the rule of thumb of 10% of the device value. Over a three-year term you pay €288. If a screen replacement without insurance costs around €280, the policy has almost paid for itself with the first claim.
If the device stays undamaged for three years, on the other hand, you have paid €288 for cover you did not need. What matters is therefore your personal risk of damage and whether you could cope with a sudden repair bill. If you already have savings set aside for a replacement, you can also save the premium yourself. Also take any excess into account: with a 20% excess and €280 of damage, you pay €56 yourself.
Legal basics and your own rights
Smartphone insurance is an insurance contract under the German Insurance Contract Act (VVG). You may withdraw from the contract within 14 days of receiving the documents (section 8 VVG). Contracts with a term of more than three years can be terminated after the third year (section 11 VVG). After a claim you generally have the right to terminate the contract within one month of the claim being settled (section 111 VVG).
Independently of any insurance, you have statutory warranty rights against the seller: for new devices the limitation period is two years (section 438 of the German Civil Code, BGB). A defect that already existed on handover, such as a faulty display or a defective battery, is therefore a matter for the seller, not the insurer. Insurance, by contrast, pays for damage caused by drops, moisture or other external impact. Manufacturer guarantees are voluntary extras with their own conditions.
When a claim occurs, the duties set out in the policy conditions apply, for example prompt notification and, for theft, often a report to the police. Anyone who breaches such duties risks a reduction of the payout under section 28 VVG. Keep the receipt, serial number and photos of the damage, and check before signing whether repairs are possible only through partner workshops or also freely.
Alternatives to phone insurance
First check any policies you already have. Some home contents policies cover electronics at home against burglary or tap water damage, but usually not against drops or simple theft on the move. Some credit cards or current accounts with extra benefits also include purchase protection for the first months after buying. The conditions differ widely, so it pays to read the small print.
Another option is to take precautions yourself: a sturdy case and a screen protector noticeably reduce the chance of a broken display and cost only a fraction of a premium. Also put a small amount aside each month. If you would rather replace than repair the device after damage, compare replacement value and current value, because many plans reimburse only the device's current value in the event of a total loss, not the new price.
Last updated: October 2026 | Sources: premium calculators and plan overviews of the providers
Konstantin Botschmanowski
Finance expert ✓ VerifiedFounder of kosten.org. As a former client adviser at an online broker and an active trader with more than 10 years of experience in the financial markets, I regularly rate brokerage accounts, brokers and financial products based on their published terms. My focus: transparent comparisons without hidden costs!