Extended Warranty on LCD TV

So, my warranty on my our HDTV is expiring soon. I received an offer from Circuit City to extend the warranty for up to 5 years for a price. I want to know what everyone things. The TV initially cost about $1000 and a quick check of Circuit City shows the cheapest brand (I didn’t research the quality) would cost about $700 for the same size.

Here are the costs:
1 year – 135.44
2 years – 257.24
3 years – 367.49
4 years – 458.84
5 years – 555.44

I think that 4-5 years is ridiculous because I am pretty certain that in that amount of time the TV would cost less than that.

I am thinking about doing the one year though. Even if something minor happened that could be repaired, it would probably cost that much to fix it so I would still be even. If something major happened, I would come out ahead. Obviously, if everything worked peachy I’d lose out on some money, but that’s the hook of warranties huh?

What do you guys think? One year warranty a ripoff? A good deal? Or should I consider 2+?