This seems to be an add-on that was introduced about a month ago
You need to pick up a phone or tablet on a device payment contract with a month-to-month plan in order to avail this service. You can cancel Upgrade & Protect anytime. This is definitely useful for those who want the latest and greatest phone at all times, or even if you end up having a broken screen every so often.
Pay $99 redemption fee if you choose to upgrade within a year of getting the contract
Upgrade with $0 redemption fee if you have had your contract for over a year and the device is in good condition (except that you forego the amount you paid so far)
Pay $249 redemption fee if you want to get your damaged device replaced (up to 2 times every 12 months)
(Upgrade would mean that you start paying for your new contract with a month to month plan)
If you were to change your phone every year, by having this add-on you would always end up paying half the cost of the phone (plus $180 for the add-on) for using it for a year. This still makes sense instead of buying a phone for the full cost and then look to sell your current phone before purchasing the new one. You would rather change your contract if and when you come across a new phone you want. Also, some peace of mind for those who don't like having a phone case.
PS: This is my first post. I think I have added all the required information, if I haven't, please let me know and I shall get it corrected.
So wheres the bargain?