Electronic Insurance

I've got one that I should have gone off on before but I think I just didn't have time.  This is one that I was reminded of again tonight when my youngest dropped his tablet and the screen cracked.  He isn't the reason I'm ticked off though, it was an honest accident, and that's why I purchase the insurance for it.  It's really about the insurance.

I'm a tech guy, and believe that part of the reason our children are falling behind is due to our government interfering with their development (Government Knows How to Raise Your Kids, yes it's old but worth the read if you haven't before).  So one of the things that we've done is get our kids using electronics to enhance their education and broaden their minds.  And I realize that they are kids so delicate electronics are going to take a beating, accidental or not.  With that in mind, I purchased the insurance that Walmart offered for the tablets that we purchase for them.  Something like $20 provides 2 years of replacement coverage no matter what they do to them.  My oldest is now on his 4th tablet being replaced with these plans and my youngest is on his second (the one he just broke).  It was a really good deal, $120 for a tablet, $20 for the plan, and when they break it, I've only lost the $20.  Just takes a little while for the check to come in the mail.

And that's where the issue comes in.  My oldest broke another tablet a few months ago and I forgot to put the claim in until a couple of weeks ago, so I put in the claim and received an email stating that they would send me an eGift card.  It took me a couple of hours to get through to someone that I didn't want an eGift card.  I don't want to be forced to buy something online and have to wait to replace it.  These kids use these for their education and entertainment, I don't want them to wait for something to be delivered.  Just before my recent vacation, he broke it again.  What sucks is that I forgot all about the stupid eGift card thing until I received the email with the stupid thing.  Now I'm stuck with something that is going to be a real pain to use.  Top that off with I have 2 more claims to make under the plan (the one that reminded me of this and the one my oldest broke just before the vacation).  I'm now debating on whether or not I want to do this plan again.  These aren't cheap devices (if it's less then $150 it's likely complete junk even to a kid) but I certainly can't continue to rack up these stupid eGift cards that I'll never use.  I may have to bite the bullet and pay a higher price at Best Buy (they have an insurance plan also) just to avoid this kind of crap.

I'd like to clear some things up as well.  I certainly wouldn't mind if they sent me a physical gift card that I could use in the store.  It's the closest grocery store to me so I shop there often and could use it.  But an eGift card is useless!  I can't stand the stupid idea, most of what they offer for tablets are refurbished tablets that they are selling for more then the brand new ones in the store.  Give me a freaking break people!  These things are older then the one I sent in and made by companies that I've never heard of.  I like to stick to the big names (Samsung or Asus for example) because you are getting something that is at least decent for a kid.  But some of the brands aren't even on the radar of what I've heard of!

The other thing that I'd like to point out about the insurance is how they sucker a lot of people into this.  This insurance isn't for just the big stuff.  I was going through the checkout line once and someone in front of me was buying some electronic toy that cost like $15.  The clerk (not her fault, she was doing her job) was forced to ask if they wanted to get a 2 year replacement plan on it for $5.  And that's just one example!  Why in the world would you spend 33% of the cost of an item for a replacement when it's something that you will likely forget you got insurance on?  This wasn't something like a game, it was a Swap Force character!  They have no moving parts.  The worst that could happen is that you could lose half of it, but guess what.  The insurance won't cover it unless you have all the pieces.  The lady was smart enough to decline it but this is something that has become more and more common.  Offer insurance that no one will ever make a claim on so that you can make more of a profit.

I get that they want to keep your money but eGift cards are not the way to do it.  And the insurance on something just because it's electronic is ridiculous!