For what it is worth,I did not buy the extended service contract.My feeling is that if you maintain the car at optimum capacity and always keep fresh oil in your smart-be it either 3,000 or 5,000 miles ,but most certainly more frequently than the 10,000 mile interval that is printed in the owners manual,then it would be a reasonable bet to NOT buy the extended service contract.If you use search,there is a WHOLE LOT of already covered ground already out here on this topic.I must say that it is a rational and entirely reasonable question to ponder.I was also wondering if the tire/wheel coverage was worth while and the resounding reply from those who took the time to address my concern was that it was felt to be a reasonable cash outlay for the coverage .When we went to assume our Smart,we ended up getting the tire /wheel coverage as a result of the feedback we had recieved.Ultimatly,it is a call that each one has to make on his or her own---but it is real nice to be able to access the opinions and experience of those of us out here who have already experienced what you are about to encounter.Just based on the 5 days that we have had our Smart,I can say with authority that you will have a perfectly wonderful time with yours.Best of luck,mull over the responces you get from your post ,and I'm sure that you will make the correct decision based on your situation.Now how does that advise sound to you?