Some research here from SquareTrade on smartphone fraud;
One in ten Europeans have experienced financial losses through smartphone theft or fraud, with some losing up to €25,000, according to new research from device protection provider SquareTrade, an Allstate company.
The research shows widespread concern about smartphone‑related risks. Nearly half of Europeans (47%) worry about physical theft of their device, while 42% are concerned about hacking and a further 42% about identity theft.
European life is increasingly organised around mobile devices. More than half (55%) of Europeans use their smartphones for banking and digital payments, while nearly three‑quarters (73%) rely on them to manage personal finances and household bills. For most, smartphones have become indispensable: 85% say they are critical to staying connected with friends and family, and more than two‑thirds (68%) describe them as their “gateway to the world”.
This reliance is deepening. More than a quarter of Europeans (27%) have replaced physical credit or debit cards with digital versions stored on their phones. One in eight (13%) have digitised their driving licence, the same proportion store medical records on their device, and 5% now carry a digital passport.
A widening protection gap
Despite growing dependence on smartphones, protection has not kept pace. Nearly nine in ten Europeans (88%) believe smartphone theft is rising. Yet only one in ten (10%) have theft protection or device insurance. Identity protection services are even less common, with just 6% subscribed.
Basic safeguards are also underused. Fewer than a third of Europeans (30%) say they have enabled “Find My” or similar location‑tracking functions on their devices.
When asked what would concern them most if their phones were lost or stolen, over half of Europeans (52%) cited unauthorised access to banking or payment accounts, while 46% feared identity theft. More than four in ten (43%) said losing irreplaceable photos and personal memories would be a major concern.
The research also highlights uncertainty about responsibility in the event of fraud. While 29% of Europeans believe their bank would cover them if their smartphone were used fraudulently, more than a quarter (26%) believe nobody would help them at all.
Kevin Gillan, MD SquareTrade Europe, comments: “Digital risks have evolved faster than the protection consumers have in place. Europeans have built their financial, social and professional lives around their smartphones, yet most protection still focuses on hardware alone. With the right awareness and safeguards, these risks are manageable.”
Differences across Europe
The research reveals distinct patterns across Europe’s major economies.
- In Spain, 12% of consumers reported having already lost money through smartphone theft or fraud, compared with a European average of 9%. Spanish consumers also showed high awareness of the risks, with 62% concerned about phone theft and 57% about identity theft.
- In Germany, more than a third of smartphone owners (36%) said they believed nobody would cover them if their phone were used fraudulently, the most pessimistic view among countries surveyed. Among Germans who had experienced losses, more than a third (37%) reported losing between €1,000 and €5,000, with some cases reaching €10,000 to €25,000.
- In the UK, high reliance on smartphones for banking and financial management (55% use phones for banking, 71% for managing personal finances) coincided with some of the highest reported rates of smartphone theft in Europe (40% of all European claims). While 92% of UK consumers perceive device theft as a growing threat, only 12% said they had protection in place.
Steps consumers are not taking – and could
The survey highlights several practical steps that remain underused despite widespread concern. While more than half of Europeans fear financial fraud if their phone is lost, fewer than a third have enabled location‑tracking tools that can help recover or remotely lock a device. Despite growing reliance on smartphones for payments and identity, only a small minority have taken out protection that extends beyond physical damage.
SquareTrade said the findings suggest consumers could reduce their exposure by activating tracking and remote‑wipe features, strengthening authentication for financial apps, backing up personal data such as photos and documents, and understanding which institutions to contact if a device is lost or stolen.
