Welcome to the Forum. You're going to get a lot of pro and con answers based on fact, and some con answers based on opinion. If you use the research menu at the top of the page you will find many posts on the subject. My answer is pro based on my experience. You do need to read the contract carefully and be sure it includes everything you want. Also, from my experience the price is negotiable. Shop around.
Figured the dealer might be the most expensive. New to forum, forgot about the search function, will look. Stepping up from a 16 ft. cargo trailer ( can sleep 4 Spartanly comfortably) but no water or inside cooking. Anxious to get 5?er, 7 weeks is a long time. Should have bought in fall/winter but time wasn?t right.
The warranty that was offered to us included a mandatory yearly inspection and service by a certified dealer. And all recommended repairs had to be made. It also excluded any of the appliances because they would be covered under a manufactures warranty.
The inspection cost was around $300 plus repairs.
Since I'm able to do most of the repairs myself I passed.
1. It's an insurance policy, not a warranty. BIG difference! It covers the repair of mechanical breakdowns (not wear & tear) of moving parts and some electronics.
2. There are many, many things not covered, e.g. the RV body, furnishings, and cabinetry, and many exceptions and loopholes for components that are covered. Don't take the salesman's glowing promises at face value - read the contract details carefully!!!
3. No DIY repairs - professional RV shops only. All repairs must be pre-authorized by the claims adjuster (usually by phone but sometimes requiring onsite inspection).
4. It's a huge profit maker for the dealer, so [if you decide to get one], either negotiate the price or buy from an agency/broker such as wholesalewarranties.com. The savings are likely to be substantial.
You need to make your own call on the advisability of buying insurance for repair costs, but my personal opinion is that there are not enough high dollar, failure-prone, covered components on a trailer to make it worthwhile. The sales guy probably tried to scare you with refrigerator and a/c replacement costs (and they are large), but you also need to consider the frequency at which such things fail in the first 4-5 years of RV ownership. And remember, the first year has a real manufacturer's warranty covering it regardless. An additional $3400 would buy you a lot of repairs.