This is rather strange.
If the Dongle is broken and returned to VSL when if it is outside of the guarantee period and you have to pay the cost of a new dongle then that is straightforward.
However the license itself is not subject to a guarantee period so I cannot see how DG's suggestion to purchase a VSL dongle every 24 months to avoid re-license fees is a viable solution. I suspect if the terms and conditions of the dongle guarantee are examined closely you will find they don't extent to the licenses held on the dongle - purely it's functionality as a storage device.
I do believe a more transparent system is urgently needed.
The dongle is only a copyright protection device of minimal cost yet it has the potetnial to hold many thousands of £/€/$ of valuable licenses.
My understanding has always been if a dongle containing the licenses becomes faulty and if it is returned to VSL and found to be so then all the licenses should be restored to a new dongle at a cost not exceeding the price of a new dongle.
The problem could be how can VSL confirm if the dongle held the licenses in the first place? If there has been physical damage to the key - liquid, fire, impact and it doesn't work in the owner's computer then there is every chance that VSL or their agents will have no way of verifying if the licences were ever on the key.
Unfortunately insurance to protect against accidental damage or theft to a dongle is either extremely expensive or doesn't actually provide full cover if all the exclusions, excesses and limitations are taken into account.
I think as the potential finacial loss due to dongle issues spirals with each new library/product released (and affects VSL's most loyal customers most) then a system that could avoid the financial catastrophy of a simple dongle accident/theft should be investigated further.
My understanding is that, under the current somewhat vague situation, someone could purchase a new set of licenses costing thousands of euros, accidentally kick the dongle sticking out of their computer and loose a hefty wad of money!
My experience of VSL is an exemplary company with great customer service but there do appear to be some grey areas concerning the protection key side of things.
Julian