We bought a 5 year contract when we bought our coach (then 2.5 years old) but did not get another when that ran out (primarily because of the very high costs for older coaches). That was 5 years ago and we are still happy with our decision.
Remember, these service contracts are insurance, not an investment. You don't come out ahead unless you have a disaster. You should expect to pay more in premiums than you ever collect in repair costs. It's the way insurance works: everybody pays something but only a few benefit greatly.
Former owner of 2004 American Tradition and several other RVs
Home is in the Ocala Nat'l Forest near Ocala, FL
Summers in Black Mountain, NC