There are 3 things about device insurance/warranties that can make them a good deal for all parties. For example, I paid $99 to insure my Google pixel 5a for 2

There are 3 things about device insurance/warranties that can make them a good deal for all parties. For example, I paid $99 to insure my Google pixel 5a for 2 years. I did the math and it made sense to me for several reasons: - historically, I've broken my phone about once every 2 years. I'd prefer to not use a thick case to protect my investment. - the CAC on mobile phone repair is probably around $50. - the cost to me for mobile phone repair is about $120, or more than the cost of the premium. - the cost to Google to get the repair is probably like $60, because they are providing customers. - so if there is 1 repair needed, Google makes money, I save money, and the repair shop makes what it would have without needing to spend on AdWords or something. The most likely scenario is this, so most likely it's a profitable trade for everyone. If I don't use it, I get peace of mind. If I use it twice, Google "loses". I consider it more like "prepaying for repairs at a steep discount" than "insurance". It can make sense in some cases. Home, car, and life insurance aren't nothing like this, as counter examples.