I typically drive a car 5-6 years (80-100K miles), and never trade in. I find I can much easier sell a car quickly and get top blue book price when I can offer a factory backed warranty. That is, I think I recoup my extended warranty costs when I sell a car, and that it makes the sell much easier because of the confidence it gives the buyer. That makes extended warranties a good buy for me, even if I never need to use them for a repair. I don't recommend them for people who trade in cars.

-- Alan