The service contract question?

I know anybody who goes into a store and looks or buys new technology is always faced with one question during the sale. They are going to offer a service contract of some kind. A few questions come into play here. If you live in a large metropolitan area chances are you still have access to repair service. The consumer repair business has been on the decline since the mid-90's and shows no chance of recovering. So if your set does have a problem what will you do? That question has a lot to do with what the cost of the unit was. If the set cost more than $1000.00 then the choice to add a service contract becomes a choice you have to make. Keep in mind the average failure rate manufacturers expect is somewhere in the area of 7% failure rate. From working in various sectors of consumer electroncs I've seen good things happen and bad things happen even with the purchase of a extended warranty. So if your considering adding an extended warranty plan, be sure and ask what all it covers and if the set's repair cost exceeds the value of the set, will they replace it? If you have more question Consumer Reports offers advice regarding the subject.