How Lucky Are You? Honestly Answer That Question. Stop! Did you ask and answer the question? Good. If you are lucky you probably won't need the warranty period and you should save your cash.  Now, if you are unlucky....my advice is...the same, you should save your cash.  Huh? You see...how lucky are you with having the small print of life (ie contracts written by attorney's hired by the person you are giving your cash too)??? 

The Devil is in the small print details.  I hear it all the time...'not covered because "X" [insert anything as an excuse not to pay on your extended warranty repair claim]...'I ate a chocolate covered espresso bean'....I think you get my point here.  Honestly, have you ever....let me repeat this for emphasis...EVER known anyone to brag about how great their extended warranty was? Nope? Me neither.  So here's the breakdown (common, that was a funny pun...you should laugh)...Buying a new car cost more money than a used car.  After a few years of gentle use, there really is not a reason why a cars value should drop 50%.  Why do they drop so much in value right at the point of the manufacturers warranty expires? Well, of all the warranties out there, the manufacturers warranty tends to be the best out there...And even these can be horrific...The value is partially due to the idea that you won't get hurt financially if there's a problem with your car.

Enter opportunity to exploit that fear for capitalistic gain: ie. extended car warranty.  These policies tend to cost 100% upfront, and rarely pay-out on warranties.  Sounds like a racket to me!  Do an internet search, and you will see this pattern repeating itself...So, again I ask you...Are you lucky?  If your lucky or not, I'd skip the extended warranty.