'iPhone envy' leads to rise in insurance fraud

February 8th, 2010, 12:50 Posted By: wraggster

Consumers unwilling to pay for latest model make false claims, insurer says
iPhone insurance fraud goes “through the roof” when a new or upgraded model of the device becomes available, an electronics insurer has said.
As new generations of Apple’s smartphone are launched, older models are frequently ‘lost’, ‘stolen’ or damaged by consumers with "iPhone envy" who know they will receive the latest version as a replacement, Supercover Insurance director Carmi Korine said.
According to Supercover, iPhone owners are 60 per cent more likely to take out insurance than other mobile phone users. Policies for the devices are the fastest growing type of cover in the gadget sector.
"While most customers take out insurance because they value their iPhone, we started to notice increases in claims as new and upgraded iPhones were launched - for short periods around new model or upgrade launches, claims for lost, stolen or damaged iPhones go through the roof,” Korine said. “For the unscrupulous, £8.99 a month insurance is cheaper than £500 to buy the latest iPhone.”
‘Accidental’ iPhone damage the insurer had seen included hammer marks, heel imprints, toilet bleach and “fire damage which the claimant found very difficult to explain”.

"The issue appears to be that most iPhone owners can only go for so long realising that they're a generation behind the latest must-have spec before they resort to extreme measures; they can't upgrade before their contract ends, so those who can't wait will try practically anything to get back on level fashion terms with their friends," Korine said.

http://www.pcr-online.biz/news/33116...nsurance-fraud

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