Some products are sent out to the manufacturer to be serviced but a lot are just exchanged on the spot as long as the consumer didn't abuse them. Speakers are a good thing to buy the plan on because it's pretty hard to abuse speakers, if you blow them they're covered, if they overheat, they're covered. The camcorder problems you had should have been covered as long as you didn't drop it. BTW, I used to work at best buy.