No More Out-of-Pocket Repair Costs for iPhone Refurbished Phones
Faster Instant Payouts for Galaxy Phones
Kakao Pay Insurance announced on November 10 that it has revised its mobile phone insurance policy to strengthen user-centric coverage.
Kakao Pay Insurance has raised the compensation limit for iPhone users. This revision reflects the reality of high repair costs for refurbished phones and is intended to allow users to utilize insurance under more reasonable conditions without worrying about coverage limits.
Previously, repair costs for iPhone refurbished phones were higher than those for regular phones, and even if users opted for a 10% deductible (minimum 30,000 won), they had to pay any amount exceeding the coverage limit themselves. For example, the compensation limit for the iPhone 17 Pro Max was previously 900,000 won. However, the average repair cost for a refurbished phone's screen was 1,190,000 won, requiring customers to pay approximately 290,000 won out of pocket.
In response, Kakao Pay Insurance has increased the compensation limit for iPhone Pro Max models to 1,500,000 won and expanded the compensation limits for all iPhone models to exceed the repair costs for refurbished phones. As a result, users of refurbished phones can now be fully reimbursed for actual repair costs without any additional out-of-pocket expenses due to coverage limits.
Kakao Pay Insurance has also launched an "instant payment" service for Galaxy phone users. The company has expanded its artificial intelligence (AI)-based payment system, which was first introduced in overseas travel insurance in Korea, to mobile phone insurance. When users submit the required documents to file a claim, the AI and optical character recognition (OCR) technology automatically recognize and analyze the documents, enabling real-time assessment and payout of insurance benefits.
This service is initially available to customers of the three major telecom providers who use Samsung Galaxy phones and do not have overlapping coverage with other insurance policies (such as carrier damage insurance or Samsung Care Plus). It can be used after 77 days from insurance activation, and unlocked devices registered through the three telecom providers are also eligible.
Kakao Pay Insurance plans to efficiently manage the claims process by collaborating with "Telecom Alternative Assessment," a joint venture of the three major telecom providers, to verify whether customers have existing telecom insurance and to prevent overlapping coverage. The company is also considering expanding the instant payment service to iPhones and budget phones in the future.
A representative from Kakao Pay Insurance stated, "The core of this revision is to resolve user inconvenience and enhance practical convenience," adding, "We will continue to provide digital insurance services that offer trust and satisfaction to our users."
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