Mobile phone demand to “buoy” insurance market

Mobile phone demand to “buoy” insurance market | Insurance Business

Mobile phone demand to “buoy” insurance market

Growing demand for mobile phone, laptops and tablet insurance is set to create new opportunities for brokers to increase their market share – as experts predict the gadgetry sector will continue to grow.

Just over a quarter of mobile phone retailers offer an accompanying insurance product including all four major mobile network operators.

But a Finaccord spokesman explained, half of all plans are limited to basic extended warranty cover rather than full insurance, and that manufacturers only provided “limited” mobile phone cover.

He suggested that as mobile devices grew more popular, consumers would require a wider range of cover options.

 “Increasing take-up [of mobile phones and gadgets] and market penetration should help buoy the mobile phone insurance market,” he explained.

Mobile phone subscriptions are forecast to increase by 20% through to 2015 which, Finaccord explained, should equate to a penetration rate in excess of 90% for Australia.