Apple reportedly will make a small change to AppleCare+ payments next week. Customers will no longer have the option to prepay for two or three years of AppleCare+ coverage at retail stores.
Instead, they can only purchase AppleCare+ annually or monthly through Apple Stores. The multiyear subscription plan is not going away, though.
AppleCare+ upfront payment plan will be limited to Apple’s online store
Apple offers customers in the United States and certain other markets the option to extend AppleCare+ beyond a year. They can pay for the coverage every month or outright prepay for two or three years. Customers could purchase AppleCare+ from their nearest Apple store, the company’s online store, or their device’s settings menu.
According to Bloomberg’s Mark Gurman, Apple will make a minor adjustment to its AppleCare+ payment options next week. Customers will no longer be able to prepay for two or three years of coverage at retail stores.
This change from Apple will positively impact its revenue. AppleCare+ is typically cheaper to pay upfront for two to three years than annually. For example, AppleCare+ for the iPhone 16 Pro costs $199 for two years, while a monthly subscription costs $9.99. Similarly, three years of AppleCare+ for a 14-inch MacBook Pro costs $279, while an annual subscription costs $99.99.
Apple may be moving toward phasing out the option to prepay for two or three years of AppleCare+ coverage. Discontinuing this payment option in retail stores could be the first step in that direction.
The last AppleCare+ change from Apple arrived in August 2024, when the company started allowing customers to renew their coverage within 45 days of expiry.
