IPhone Insurance - what's the best option?

Several people I know over the course of the next few weeks may be getting a new iPhone (5c or 5s in some cases) and a couple of them I know are going to pay full price for them to keep old grandfathered (and cheaper) monthly plans in place. We were discussing insurance options for them for these and no one has any firm answers.

Obviously if you buy a policy from Verizon or AT&T directly, it's extremely expensive. Applecare does not cover theft or lost phones. So you then hear about third-party companies that will insure your phone like Square Trade, Esurranty, and others, but you can find just as many bad customer reviews about each of these services as you can find good comments. Many renter insurance companies are dropping iPhone coverage (example, State Farm has), as so many claims are filed each year.

So for those of you who have *actually had to use* one of these services… What would you recommend as a good one that covers manufacturer defects, accidental damage AND theft/loss, too, based on your own actual experience?

What i found was that none covers everything. At least in my area. Applecare plus gives two years hardware and two years phone support with two accidentals offered for a $79 for each replacement (this is new pricing for my area).it does not cover theft or loss. Some carriers cover theft and loss but not troubleshooting support with apple as this is paid support. You will just have to check around and choose what is best for you and what is offered in your area. Read the fine print.