Why's that? They're selling the insurance plan for a profit, after all. The expected return, from the buyer's point of view, is negative. If your financial sit

Why's that? They're selling the insurance plan for a profit, after all. The expected return, from the buyer's point of view, is negative. If your financial situation is such that you'd be in trouble if you had to replace a tire, then sure, but tires aren't that expensive.