Apart from offering AppleCare+ for the AirPods and selected Beats headphones, Apple has also quietly launched a monthly payment plan for AppleCare+ and allowing them to subscribe to AppleCare+ for an indefinite period of time.
What this means is that you will no longer need to pay for AppleCare+ coverage for your iPhone, iPad, or Apple Watch at one go. Instead, you can pay in recurring monthly installments until you cancel the coverage. The AppleCare+ term for your device will have a 30-day term and renew every month.
If you purchase AppleCare+ outright for the Apple Watch Series 5, iPhone, or iPad, you get two years of coverage. However, if you pay monthly, you can continue to enjoy AppleCare+ coverage even after two years provided you keep paying the monthly installments.
Below is how Apple explains the AppleCare+ monthly plan:
For Monthly Plans, your Plan Term is one (1) month. Your Plan will automatically renew each month unless cancelled as set forth in the “Cancellation” Section 9 below, including in the event that Apple is no longer able to service your Covered Equipment due to the unavailability of service parts, in which case Apple will provide you with thirty (30) days’ prior written notice of cancellation, or as otherwise required by law.
There is a catch if you pay for AppleCare+ monthly though. You will be paying slightly extra than what you would pay outright. For example, the two-year AppleCare+ coverage for the iPhone XR costs $149 outright but one has to pay $7.99 on a monthly basis. If you only use your phone for a short period of time and then sell it off, it makes sense to pay for AppleCare+ on a monthly basis. Or if you cannot afford to shell out the moolah for the coverage at one go.
The monthly AppleCare+ payment option is only available for the iPhone, iPad, and Apple Watch. Apple is still offering outright payment options for AppleCare+ for the Mac, Apple TV, and other similar devices.
What are your thoughts about this new monthly payment option for AppleCare+? Will you prefer it instead of paying outright for the AppleCare coverage even though you will end up paying more in the long run?