In a first, Nokia offers handset insurance

Finnish handset major Nokia has tied up with state-owned insurance firm New India Assurance to offer customers handset insurance plan, with premium starting as low as Rs50.

The insurance, which will be initially offered through Nokia branded retail stores in select cities, will cover theft, burglary, malicious acts, riots among others as well as damage that is beyond the purview of the consumers’ standard warranty.

The plan will cost 1.25% of the purchased value.

To avail of this plan, consumers have to provide a few personal details and receive their insurance certificate, handout and payment receipt at the store itself.

There will be a deduction of 10% if the loss happens within three months of insurance, 25% within three to six months and 50% in case it happens in six months to one year.

“There is no plan beyond one year but we are yet to figure out things based on customer response,” Kannan Gopalakrishnan, director, retail, Nokia India said.

“Through this initiative, our effort is to address one of the major concerns of mobile phone buyers and enhance their buying experience with us. Insurance cover will be provided on purchase of new Nokia mobile phones from today, initially across 10 cities,” he said.

The plan will be available March 14, 2013, onwards on all Nokia devices purchased through Nokia branded retail stores in Delhi and the National Capital Region, Jaipur, Mumbai, Ahmedabad, Pune, Kolkata, Chennai, Hyderabad, Bangalore and Cochin.

“Mobile phones are today emerging as the consumers’ most preferred personal device, and users are consistently increasing their investment in the new technology. As India moves from being a volume to a value market, consumers are willing to pay more for their mobile phones,” Gopalakrishnan said.

“We believe with the changing consumer landscape and the growing penetration of smartphones in India, this plan is sure to see strong uptake amongst our consumers.”

In case of theft, consumers will need to file a written report with police and report the loss of SIM to the concerned network service provider and acknowledgement to be furnished.

An FIR will not be mandatory for a claim.  The consumer will have to approach the company within 48 hours of loss. He will not get any claim if the loss happened overseas or if the person forgot it at some place.

However, it will cover some vital points such as damage caused by accidental entry of fluid in the device’s circuitry.

@priyankasahay