I've been watching the price of deductibles rise, and the cost of the phones (that i purchase) decrease.
For instance, my phone's deductible is $50. I pay $7 a month to have the policy. My phone, I purchased for $149 (June), but it has been $99 since December.
I've already paid $56 in monthly insurance fees. If I paid the $50 deductible, it would be more money paid than the value of the phone. Not only that, they would likely send me a refurbished version of the phone. I have no real problem with refurbished products, but it is more of a bother than anything, to imagine that I'm not receiving something brand new.
The only thing that they've got going for them is the replacement of accessories for your product, but for my phone, the case costs about $4 off of amazon, and the screen protector (which i've got at least another 2 in the box) cost about $8.
So, that is for my inexpensive phone.
I decided to run a couple numbers and see how much the Samsung Galaxy Note 4 ($600 phone?) would cost -- Deductible is $175 dollars. Now, the value might be a little bit more worthwhile there, but even then, if I am upgrading my phone every 2 years, *if i had a 600 dollar phone* it would still be worthwhile to upgrade to the next phone on the line, grab a refurbished off of one of the websites, or just choose something else entirely.
I don't use expensive phones, though. Currently, I just don't need it. Perhaps in the future, i could justify having a phablet, but I just cannot at this current point in my life.
In addition, I noticed that for the past year, I've been paying 10 dollars more per month for my phone plan than I should have been. They removed the android/smart phone monthly fee and just made all phones a flat fee back in april of 2014. I'm now dropping my monthly phone fee from $47 down to $35.
It might not sound like much, but saving $12 a month is something I can throw right back into savings. I am such a penny pincher, that I am already imagining a drill i can buy after a year, or something else.