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It's hard to say what's good for you (the OP), but for me, I never go for it, on anything I buy. The best reasons are already listed above.
Also, as one poster mentioned, there are other ways to get coverage besides dealership extended warranties. For instance, I am shopping for insurance right now (my new FRS bumped up my premium!) and GEICO offers bumper-to-bumper for 7years/100K miles with a $250 deductible included in my quote. I've read the fine print. They cover everything except normal wear items such as tires and brakes and a few other things - it's a very short list. Plus, policy owners say really good things about their extended coverage on the 'net.
One other thing, my dealer offered me the same extended coverage 2 weeks ago when I purchased my FRS and the price was $2100. Still, for me, I wouldn't touch it.
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