Akulaku Phone Insurance Terms and Conditions
A. ELIGIBILITY
Insured: Eligible customers are Filipino citizen/s at least Eighteen (18) years of age and not among those prohibited by law to enter into contractual relationship.
Mobile Phones: Brand new phone purchased thru Akulaku’s Loan Program.
B. COVERAGE
Accidental Damage (including Liquid Damage)- To indemnify the Insured against Accidental Damage (including Liquid Damage) to the mobile phone due to external causes as defined except where specifically excluded by the Policy.
MICI’s liability under this Policy in respect of any one claim and in the aggregate for the period of Policy shall not exceed the Total Sum Insured indicated in the Policy.
C. EXCLUSIONS
The company highly advises that the insured will exhaust by any means to safeguard/protect the item insured.
MICI shall not be liable in respect of direct or indirect damages due to the following exclusions:
1. The Deductible stated in the Schedule is to be shouldered by the Insured in respect of each and every occurrence giving rise to loss or damage under this Policy.
2. Damages and/or losses caused by atmospheric conditions, natural wear and tear, deterioration, depreciation, corrosion, discoloration, rust, vermin, insects, any process of cleaning or restoring or from adjustment, repair or dismantling of any part whilst removed from its normal working position.
3. Damages and/or losses or destruction caused or contributed by, war, invasion, hostilities (whether war be declared or not), insurgence, rebellious acts, insurrection, civil commotion, military or usurped power or loss or pillage in relevance therewith.
4. Acts of terrorism, through the use of force or violence and/or the threat thereof, of any person(s) or group(s) of people whether acting alone, on behalf of, or in relation with any organization(s) or government(s) parties or officials, religious, ethnic, or other similar purposes including the intention to affect any government(s) and/or to put the public or any section of the public in fear;
5. Damages and/or losses arising from acts of nature
6. Damages and/or losses arising from any action in relation to breach or violation of government laws, breach of trust or prohibition/s, treaties, or other rulings.
7. Damages and/or losses arising from confiscation, detention, destruction or requisition by Customs or Police or by the order of any government authority or representative, whether as contraband, stolen goods or otherwise, or in consequence of illegal act or activity or otherwise;
8. Damages and/or losses arising from radioactive and nuclear events (ionizing, radiation, or contamination) from any nuclear fuel from any nuclear waste from combustion of nuclear fuel or nuclear weapon material;
9. Damages and/or losses arising from undetermined or unknown losses, mysterious disappearance, unexplainable and/or improvable event caused by the Insured or any person or third party, known or given authority by the Insured.
10. Damages and/or losses arising from theft.
11. Damages and/or losses arising from deliberate acts or negligence of the Insured, or any third party authorized to use the insured item;
12. Water Damage/s and/or losses in respect to accidental losses/damages whilst on board any type of vessel/craft used in or on water that is less than three (3) meters long.
13. Any additional cost incurred to the Insured in respect of:
a) loss of value, loss of use, loss of data stored in memories, or any consequential loss (including but not limited to any economic loss or other loss of turnover, profits, business, goodwill or expected savings)
b) replacement or repair of antenna, battery chargers or portable/removable batteries where these items are the only part that have been Damaged or stolen;
c) replacement or repair where damages is covered by any manufacturer’s guarantee or warranties for parts and/or labor;
d) Routine service, inspection, adjustment or cleaning;
e) Accessory replacement/s
14. Damages and/or losses arising from internal leakage to the batteries of the unit, unless the leakage is attributable to an accident.
15. Latent or Inherent product defects.
16. Malfunction or electrical and mechanical derangement including its self-ignition or burn out, whether as a result of use, misuse, test or repair;
D. Claim Settlement Options:
1. Urgent Repair – Reimbursement Option. The client is given the option to have their mobile phones repaired in advance.
Given that the damage will not exceed the value below:
30% of the total limit of repair and replacement of parts of the fair market value of the item insured. Damages in excess of 30% will no longer be reimbursed by the insurance company to the insured.
2. Partial Loss – 31% to 74% of the total limit of repair and replacement of parts of the fair market value of the item insured.
3. Total Loss – Damages that exceed 75% of cost of repair will be evaluated as “Total Loss” — subject to the fair market value of the item insured at the time of loss.
Options:
1. Unit Retain – total settlement amount will be computed as follows: estimate – deductible – depreciation = total settlement amount
2. Unit Surrender – total settlement amount will be computed as follows: sum insured – deductible – depreciation = total settlement amount
75% of cost of repair – pertains to the value of repair versus the fair market value. FMV at the time of loss to be determined by the Claims Department
Deductible:
All claims are subject to the fair market value of the insured unit at the time of loss, submission of all claim documents, and deductible percentages equivalent to:
Repairs: (minimum of 1,000)
Deductible of 3% of Sum insured for the first 3 months
Deductible of 5% of Sum insured for the next 3 months
Deductible of 7% of Sum insured for the following 3 months
Replacement: 10% of Sum insured min of 3,000
We will apply the deductible that is higher.
Depreciation:
Quarterly depreciation of 5% = 20% one-year term. Depreciation will only apply to replacement parts on a partial claim.
Documentary Requirements
Underwriting
1. Name of Insured
2. Address
3. Contact Number
4. Mobile Number
5. Make of Mobile Phone
6. Model of Mobile Phone
7. IMEI of the product to be insured
8. Photo / Video of the Mobile Phone (product to be insured)
Claims
1. Photograph / Videos showing damage/s to the insured unit
2. Incident / Police Report – Claim Report = email notification by the insured only – If required
3. Repair or Replacement Estimate
4. Proof of Possession: Take a selfie holding the phone
5. Should a photo be unavailable to be submitted – claims department will have the damaged item to be inspected 3rd party provider/inspector*