For one year after the purchase of the phone Verizon does warrant exchanges. So, during you first year you will do a warranty exchange on the phone with a defect.
The warranty exchange is not something you take out, it is automatic with any phone. It only works with defects. Do NOT try and use a phone dropped in the water as a warranty exchange they'll find out and charge you full price for the phone.
Recap: warranty exchange comes with any phone purchased through Verizon or authorized retailer. They will not (as far as I know) warranty exchange a used phone purchased off Ebay, Craigslist, or other non Verizon dealer). I think warranty exchange only lasts as long as the original owner has the phone.
msblueline
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