A couple years ago I bought a Canon Digital Rebel XTS. At the time, I bought the extended warranty for $99. It seemed like a good idea at the time based on it being a $1,000 camera. The camera seemed to die every time I would go on vacation. I brought it in four times and on the fifth time, they replaced it. They gave me a brand new Canon Digital Rebel XSi.
The new camera is great with a number of great new features. The downside is that I had to buy new memory cards (it takes SD memory cards instead of Compact Flash), new spare batteries and $199 on the new service protection plan. The nice thing about the plan is that it covers accidental (and maybe intentional damage) for four years from today, but it'll probably be worth it in the end. Hey, my $400 plan on a $5000 TV got me a brand new TV a few months ago.
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