[TProUserOnSprint]

Handset insurance offered through carriers via Asurion are a complete rip off. It's way overpriced. Here's what I do:

I called my renter's insurance agent and asked her if I could put a rider on my insurance for my phones should they be damaged outside my home. She says she can do that but she needs documentation to prove replacement value for each device. I provide such documentation, and a week later I get coverage for my devices added to my insurance bill. For $4 a month I get the following coverage:

$700 for my iPhone 3G
$600 for my Touch Pro
$450 for my GF's Centro.

The only downside is that it takes a lot longer from the time you file a claim to when you get your device back. But it's worth it since I have multiple backups for each service.