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Virgin Mobile offers its own assurance plan for people who get laid off

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More advertising plans are offering sweeteners for the unemployed. Credit: woodleywonderworks via Flickr.

As the old saying goes, nothing in life is free. Unless, apparently, you’re unemployed. Today Virgin Mobile announced a ‘Pink Slip Protection’ plan that waives up to three months of wireless phone charges if you get laid off. It follows similar layoff protection plans from car-makers Ford, General Motors and Hyundai.

‘With the unemployment rate rising, the fear of job loss or salary reductions have made consumers watch every dollar,’ Dan Schulman, CEO of Virgin Mobile USA, said in a statement.

The tiny print about the plan: It’s only for monthly plans without annual contracts; you must be employed to enroll; and you must be on a monthly plan for at least two months before claiming benefits. Virgin Mobile will pay up to $90 per month for three months. It also is offering a nationwide prepaid plan designed for heavy texters starting April 15. The plan offers unlimited text messaging for $19.99.

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Virgin Mobile is offering this plan in part because unemployment issues tend to affect its prepaid base more than its wireless users, Schulman said.

Payments of $90 a month are not as significant as the hundreds of dollars a month the car companies might waive for people who get laid off, said Justin Manfredi, director of client services at Door Agency, an L.A. advertising firm. But the message Virgin is sending will resonate with consumers, said Manfredi, who has worked with the GM and Saturn brands in the past.

‘It’s more the idea that the company is thinking about you as a consumer and putting you first,’ he said.

Many companies have been taking the economy into account with their advertising messages by telling consumers they feel their pain. Hyundai was the first to give actual insurance for people who get laid off with its Assurance plan, which it launched in January. It allowed customers who got laid off within a year of purchasing the car the opportunity to return it. GM and Ford announced similar programs earlier this month -- but those carmakers will pick up an owner’s payments. GM’s Total Confidence plan will make as many as nine car payments of as much as $500 each for car buyers in the event they are laid off within two years. Ford Advantage will pay up to $700 a month for a year.

‘Consumers are in fear of losing a job in this economy,’ Manfredi said. ‘Anything a brand or company can do to say, ‘We understand what you’re going through and we’re here to help you,’ is good.’

-- Alana Semuels

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