extended warrantys are an insurance product so make sure you read the terms and conditions .as an example several years ago the air con on a jag i had stopped working ,the warranty company would only pay for the part that was faulty.I had to pay the cost of stripping out all the bits to get to the faulty part plus the cost of putting them all back and the service kit to do it,maybe things have improved since then.Also out of curiosity i filled in the online forms of a couple of the warranty companies when i ignored their e mailed replies they rang me up with a better deal ,then they sent another e mail with an even better offer!