AppleCare and other phone protection plans: Who should—and shouldn’t—buy them

Howard Kunreuther of the Wharton School said consumers often buy phone-protection plans in spite of the low risk of damage. “These are low-probability events by definition. That’s why money is being made by Apple and others,” he said. “People focus on the consequences, and they don’t think about the probability.”

・ From The Wall Street Journal