Treadmills, ellipticals, swim spas and those other very expensive workout equipment - do you own one? What do you do when it breaks down? Or has it? I know when we bought our fully loaded treadmill for under $150 (it was a clearance sale) I was offered mechanical breakdown insurance but I turned it down. The price for the plan was almost as much as the treadmill. That was about 6 years ago and we have yet to have a problem with it.
I say go with your gut feeling when buying fix-it plans for your stuff. Sometimes it costs more in the long run to buy the plan than to buy a new machine.