New SG? At $400 per year, doesn't seem like too bad a deal...considering labor is $75 per hour in my area. My last 'repair' took 4 hours. Check and see what is and isn't covered, as I'm not familiar with their contracts. And it also depends on how long you anticipate keeping the bike once it's out of normal warranty.
For the extra $12 a month that I pay it could be worth it if something goes wrong. It does'nt cover routine checkups. They nearly laughed me out of the shop when asked if routine checkups were covered under the warranty. Its peace of mind.
Haggle with them the fee is dealer set mine wants 998.00 for the extra 3 years, but you can check around, you can buy it from any dealer some have better prices than others.
You sure? Cause a 5 year is only good for 3 extra as the factory warranty runs concurrent. The 7 year will get you 5 extra and so on, they make it sound good but screw you out of 2 years cause you got that when you bought the bike.