I'm very excited to be finally moving into the FF realm with an upcoming purchase of the 5D3. I've had my 40D for a few years now and I can't wait to have video capability on a FF body with the great low light performance that I've been reading so much about (I realize that I just described the 5D2 but what kid doesn't want the shiniest new toy?).
My question is regarding the extended warranty deals offered by various retailers. Is it worth the investment in these warranties? I bought an extended warranty from Best Buy when I purchased my 40D thinking that it was a great safety net but I never ended up needing it. And if I did need it I'm not so sure it wouldn't have been easier to deal with a repair shop in person. Have any of you actually had to use your warranty from a third party and if so what was your experience?
Extended warrantees are a big profit item for camera sellers. From a pure financial standpoint, they are not a good investment. I paid $100 to Adorama for a 3 year extended Mack warranty on my 5D MK II in 2008 and never used it. Probably only one of 500 uses their warranty.
When you pay for your camera with a credit card, many of them double the Manufacturers warranty, plus cover loss, breakage, theft, etc. Extended warranties only cover malfunctions.
So, its likely that you are only getting that third year of coverage from your extended warranty, and cameras that have issues are most likely to fail before that.
The only extended warranty that I have ever collected on was for my Maytag Neptune Washer I bought in 1998. I used it many times. That washer model was one of the main reasons Maytag went bankrupt.