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What happens when you lose your phone 11 months before your 2 year contract with AT&T?

i lost my phone in DC and i live in california

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That has happened with me too, I'm not sure if it's the same in Texas but, I got a replacement phone sent to me, which was not free. I payed 80$ for the replacement phone which stopped working 3 months later. That's why I pay 100$ each month for Apple Care (IPhone Insurance)

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