A new study reveals a significant gap between Indian consumers’ awareness of device protection plans and their actual adoption, highlighting concerns over cost, trust, and understanding as repair bills rise and handset prices soar.
Indian smartphone users are broadly aware of device protection plans, but very few actually buy them, according to a new industry study that points to a widening gap between knowledge and action as handset prices rise and repair bills grow. OneAssist, working with Hansa Research, surveyed 1,260 people across the country and found that although most respondents knew such plans existed, active coverage remained in the low single digits.
The study, titled “The Great Indian Smartphone Protection Crisis”, found that 72% of consumers had already suffered accidental damage and 82% had dropped a phone at least once. Even so, only 6% to 8% had active protection. OneAssist said the mismatch is especially striking in a market with more than 650 million smartphone users, where average device prices have climbed by 40% to 50% in recent years and replacement cycles have stretched to about 40 months from roughly two years a decade ago.
Cracked screens emerged as the most common result of damage, affecting 70% of those who reported incidents. The study said 36% of accidents happened when a phone slipped from a pocket or bag, making everyday commuting the biggest risk, ahead of water exposure, walking or running, and travel. It also found that the emotional impact is immediate for many users: 35% panicked after dropping their device, 24% argued with someone over the incident and 15% cancelled plans. Women reported sharper anxiety and a higher rate of accidental damage than men.
Cost remains the main barrier to wider adoption, with 44% of non-users citing affordability as a concern. Many others said they did not fully understand what the plans covered, while four in 10 questioned whether claims would be handled fairly. The study also suggests protection could support the second-hand phone market: four in 10 Indians have bought a pre-owned smartphone, with higher adoption outside metro cities, and many respondents said protection plans would make them more comfortable buying used devices. Subrat Pani, co-founder of OneAssist, said the industry still has to solve for “affordability, simplicity and trust” as consumers continue to worry about damage and breakdown.
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