• P.O.Box KN3425,Kaneshie-Accra,Ghana
  • info@insureghana.com
  • +233 (0) 20 9211 579 |+233 (0) 55 301 9383
  • info@insureghana.com

Mobile phones insurance – fast growing?

Mobile phones insurance – fast growing?

News Date: February 15, 2021

One of the most common electronic gadgets owned and / or accessible to most people is the mobile telephone handset. Until the late 2000’s or so, not many people could use the mobile phone to do all kinds of businesses apart from making and receiving calls, as well as text messaging.

The use of mobile phones has become so widespread that it is considered ‘abnormal’ not to own one! One cannot live without a mobile phone for both socio-economic and other financial transactions.

Mobile phones have evolved from being just an electronic gadget to a complete business solution centre. There have been times I wonder how we even existed without mobile phones 20 years ago!

From various applications and other services the mobile phone can provide, it is little wonder how heartbroken one can be in the event of loss of or damage to the gadget. In spite of contacts backup, the loss of vital information, images and memorable videos make it more painful in the event of a mobile phone loss.

In fact, for many a business person, living without a mobile phone for an hour is akin to sniffing out an important ‘organ of the body’ albeit temporarily.

Is mobile phone insurable?

Yes, mobile telephone handsets are insurable. The only reason many insurance underwriters may shy away from providing insurance cover for mobile phones is the fact that the risk is very high judging from how the gadget is handled.

From the possibility of misplacing it in a public transport or public place, damaging it, falling into water and crashing of the handset accidentally, to the mobile phone’s high rate of theft in most parts of the world is incredible.

Availability of mobile phone protection insurance

Indeed this type of insurance has been made available in contemporary business times in the insurance marketplace. Patronage has been high and so is demand in especially the western world where a chunk of the people own and use mobile phones.

Modern smartphones are generally expensive and need to be protected financially; hence, the emergence of mobile phones protection insurance.

Can mobile phones be insured as stand-alone policies?

It is instructive to note that purchasing a mobile phone insurance as a stand-alone policy may not be necessary but can often be incorporated in a household policy. The ‘personal possessions’ extension to a contents policy under a household policy will usually be needed to ensure adequate cover for mobile phones both inside and outside the home for accidental damage, loss and theft.

To make this clearer, it is important to touch briefly on what personal insurances entail. Personal insurances generally refer to the types of insurances which can be purchased by individuals rather than companies. Insurers, therefore, provide a standard package of policy cover in a single policy document to encompass household insurance policies. 

Apart from ‘buildings only’ policies which provide cover to the structure of a building with its fixtures and fittings, of particular relevance to the mobile phone insurance is the ‘Contents only’ policy. This covers the contents of the house which would naturally include mobile phones and personal possessions, money, credit cards, etc.

Other personal insurance products may include cover for domestic animals, caravans, small craft, personal accident, payment protection, private medical insurance etc. Here, mobile phones are easily factored alongside all the above as ‘contents only’ policy.

For contents cover and in the context of mobile phone insurance, the agreed sum insured would be a representation of the cost of replacing all items as new. However, wear and tear in respect of mobile phones which is almost always insured on an indemnity basis will be factored in. To assist the proposer in arriving at the value of the phone(s) in each room, insurers typically provide guidelines available on the proposal form.  

Stand-alone mobile phone insurance

For proposers who may decide to purchase separate mobile phone insurance as a stand-alone policy, there are a number of such providers. Here, it is important to note that all the mobile phone networks in especially the western world have their own insurance arrangements. Alternatively, cover is also available through high street retailers, such as Carphone Warehouse and Phones4U, as well as through specialist insurers, intermediaries and aggregator websites.

Scope of cover

These insurance policies can be obtained for individual phones or multiple phones. Cover is provided for repair or replacement following theft, loss or accidental damage of the phones.

Generally, these policies provide an automatic extension to the cost of fraudulent calls and downloads if the phone gets stolen.

The cover is applicable anywhere in the United Kingdom (UK) and for up to 90 days globally.

Policies usually contain a limit per claim per phone. Depending on the type and value of the phone, this can vary between £750 and £2,500.

Limit of excess

An excess of between £30 and £75 typically applies. In the case of iPhones, the excess is often increased to £100. This implies that the insured will be made to bear the first £30, £75 and £100 in the event of claims and the remaining amount is paid by the insurers to the insured.

What is not covered

The following are some of the typical policy exclusions that apply to mobile phone insurance:

  • one cannot make a claim within the first 14 or 21 days of cover commencing;
  • the cost of unauthorised calls and downloads unless the phone is reported as missing to the network provider within 12-24 hours;
  • theft of phones whilst unattended in public places;
  • damage caused by a computer virus;
  • damage caused by water;
  • loss of pictures, audios, videos, data and contacts are not covered;
  • failure to take reasonable care;
  • theft unless accompanied by force or threat of violence (an exclusion generally applied by only some insurers);

Premium calculation

The risk assessment and underwriting factors above are used by insurers to establish a flat monthly premium per phone.

The way forward

Insurance companies in Ghana have come of age and I believe they must be fast in considering the projection of the need for insurance policies of this nature as a technology-driven insurance industry is dependent on well protected gadgets such as MOBILE PHONES!

The author is an Insurance Practitioner

Source: www.graphic.com.gh


General Questions

There are many insurance companies that offer Life insurance and many others that offer Non-life (General) Insurance in Ghana.You can go to any of these insurance companies and take out insurance.Once you contact them, their staff will advise you on what they offer and what is best suited to your insurance need.Click to see the list of GIA accredited Life Insurance Companies and Non-Life (General) Insurance Companies.Insurance – Some Basic Steps
  • Contact an insurance company, an insurance broker or an insurance agent
  • Discuss your insurance needs with them.
  • Think     about the options carefully and then choose the product(s) that meet(s) your needs
  • Supply truthful information for the completion of the insurance contract documents
  • Sign the insurance contractPay your premium
  • Receive an insurance cover for the risk(s) you have insured.
When should you take Insurance?
Once you have life with its possible unwanted outcomes, it is advisable to take an insurance against such possible unwanted outcomes. Also, as soon as you acquire a property it is advisable to choose an insurance to cover the risk of damage or loss to the property. Again anytime you have liability to another person for any damage you may cause the person, it is advisable to insure the liability. For liability insurance in the form of third party motor vehicle, commercial building under construction and commercial buildings you are required by law to take out insurance as an owner.

Protecting your life and property should be an important part of your financial plan. Insurance protects you from financial problems resulting from damage or loss either to yourself or to your property. It is therefore important that you insure your life and property against any unanticipated accidents, damages or loss. You can take insurance to cover any of the following listed below:
  • Death
  • Accident
  • Theft
  • Fire
  • Loss
  • Damage
  • Disability Health.

Broadly there are two kinds of insurance:Life Insurance which pays an insurance benefit when the person who is insured dies;Non-Life (General) insurance, which comes in many forms, including property, liability, disability, health and travel.
  • Property Insurance provides protection against property damage and the insured is indemnified (compensated) if such damage occurs.
  • Liability Insurance provides you with insurance protection if you are found to be liable for causing damage to someone’s health or property.
  • Disability Insurance provides protection should you lose your ability to work and earn income, and pays you income if you are unable to work.
  • Health Insurance covers certain medical expenses and prescription medications.
  • Travel Insurance provides protection against certain adverse occurence during travel such as illness or even missed flights.


  • The insured (policy holder)
  • The third party whose property has been damaged by our insured's vehicle
  • The injured victim
  • Administrators of a deceased estate
  • Parents/guardians in the case of minor.

Non-motor insurance comprise of several lines example public liability, professional indemnity, personal accident etc. Each non-motor insurance claim has its own specific claims procedure and conditions.Generally, when an accident occurs the insured should comply with the following :
  • Report to the police.
  • Contact your broker/insurer and fill the specific claim form.
  • Do not settle or negotiate to settle, admit or repudiate any claim without the consent of your broker/insurer.
  • Forward all relevant documentary evidence in respect of the loss.
  • Forward all claims, writs of summons or letters from third parties to your broker/insurer through insureghana.com.

1. If your vehicle was driven without your consent, order or permission.
2. When an unlicensed driver was driving
3. When the claim is statute barred i.e claims not submitted within the three (3) or six (6) years period.
4. Where there was a change of ownership on the vehicle without reference to us.
5. Using the vehicle whilst the driver was drunk.
6. Using the vehicle for unauthorized purposes.
A. Own damage
  • Report the loss to the insurer and fill the accident report form.
  • Attach a copy of the driver’s license.
  • Furnish the insurer with an estimate of the cost of repairs from either the insurer’s recommended garage or a repairer of your choice.
  • Provide pictures of the damaged vehicle, clearly showing the registration number of the accident vehicle.
  • Allow damaged vehicle to be inspected by the insurer’s surveyor before the commencement of repairs.
  • Police report would be required, depending on the circumstances leading to the loss.

B. Property damage claim
  • Letter of claim
  • Police Report
  • Furnish the insurer with an estimate of the cost of repairs from either the insurer’s recommended garage or a repairer of your choice.
  • Provide pictures of the damaged vehicle.
  • Provide driving license of the insured’s driver.
C. Injury cases·
  • Letter of claim
  • Police Report
  • Medical report
  • Original receipts of Medical Bill incurred (To justify the cost being claimed for)
  • Sworn Affidavit.
Two (2) passport-size pictures of the injured victim endorsed by the doctor who treated the victim.D. Deceased (death) cases
  • Letter of claim
  • Police Report
  • Death Certificate/Burial permit/Post-mortem report
  • Letters of Administration
  • Personal Particulars of the deceased
  • Sworn Affidavit
  • Endorsed passport size pictures of Administrators (two each).
In all cases, a discharge form which states the agreed quantum (amount) will be issued by the insurance company to the insured or claimant for execution and forwarded back to enable us process the cheque.

Under all insurance contracts, damages or losses incurred must be reported to the insurance company for the purpose of making a claim. In most cases a report must also be made to the police. Under a motor insurance for example, you must report any accident to the police as soon as it occurs to enable you to begin the processes for making insurance claims.Failure to report an accident can subject you to personal liability if the persons involved later find themselves to be injured and your insurance company denies the claims due to your failure to report the accident promptly.
This is what you are paid in the case of an accident or loss for which you have insured. Once you have entered into an insurance contract and paid your premium, you are entitled to compensation from the insurance company for any damage or loss suffered. The extent of compensation depends on the type of insurance.

By Admin at February 16, 2021

NIC develops Compulsory Commercial Fire Insurance policy

Read More

By Admin at February 15, 2021

Mobile phones insurance – fast growing?

Read More

By Admin at January 20, 2021

WAPIC Insurance: Change Of Company Name

Read More

By Admin at March 3, 2020

Industry-first deal between Hollard and Melcom to provide insurance for shoppers

Read More

By Admin at January 29, 2020

Westom Insurance Brokers, Your Trusted Partner in INsurance

Read More

By Admin at January 21, 2020

The National Insurance Commission Fades Out Manual Motor Stickers

Read More