Welcome to the forum and congrats on your new rig!
You'll want to do a search on this topic because, other than WalMart, it is certainly in the running for the most discussed topic on the forum.
IMHO, these things are easier to understand if you look at them as insurance policies. But, they're insurances policies which I believe operate in a much less regulated environment than more familiar policies. Reading the fine print is critical.
We were newbies and bought a new 40DP. I wanted the peace of mind that the EW brought me. As it turns out, we were lucky and bought one from a good company and in the end they paid out just about what the premium cost... but it was the peace of mind I was after. We were happy with our decision to buy at that time. However, the EW just came up for renewal and I declined.
We're no longer newbies and I've come to believe that a "self insure" strategy like Barb describes above makes a lot more sense for us now.
Best of luck.