Apple still won't let a waterlogged phone be included as a part of a trade-in. While phones that have had their indicator tripped by a small amount of humidity or moisture will be valued as part of a trade, evidence of water in the phone's display, or corrosion in the ports will automatically give the phone no trade-in value. Still, this is an improvement from August when Apple started the program in the U.S.and U.K.
The new looser restrictions against water-damaged handsets will apply to Apple iPhone units involved in trades in the U.S. and U.K.
source: 9to5Mac via MacRumors