DTRAN - that's exactly what they do. The insurance is actually carried by a 3rd party, I don't remember what the name of the insurnance company is, but it's not Pacific Bell. They replace your phone and they replace it within 72 hours - or at least that is what they claim to do. Also, if your phone is "stolen," then you need to file a police report to have your phone replaced. If it is "lost," then you don't - something to think about when calling Pacific Bell. They also know what kind of phone you are using also, so you can't lie to them by saying OH, I have a Nokia 8890 and I want another one NOW. Every GSM phone has a specific ID number, something like a serial number, and part of that number tells them where you got that phone, where it went to, and what kind of phone is. Supposedly, they have the ability to completely deactivating not only your SIM card, which is what they should do anyway, but also the GSM handset. I'm not so sure about the second part, because I haven't "lost" my phone, or tried to rather, but that may be something to think about too.
Also remember there is a small dedeductible fee...
-the other dtran