I bought a used 2004 Jeep and bought the "extended" warrantee for it also. I only owned it for 4 months and in that short time they put 4 transmissions in it (the first 3 they did wrong causing them to fail) They also repaired a head gasket. All in all, it was in the shop more than in my driveway. The warrantee not only covered all repairs 100% but was transferable to the new owner and ended up being the main reason he bought the car from me...
So, sometimes they can be good, just a crap shoot.
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