ALL autos (save collectables) represent a sinking, depeciable asset with the added downside of future mechanical costs. When one buys a new car, MOST of the mechanical costs issue is dealt with for a limited period of time. In this case, the biggest cost of the car by far is the interest and depreciation that one incurs to procure the car. This cost is often overlooked but is very real indeed.
When you buy used, you diminish the interest and depreciation costs over time but are normally subjected to the risk of larger mechanical costs. One can "lay off that risk" to a warranty provider or retain it. This is the self insurance option that is mentioned above although it is not technically self insurance as the insurance industry terms it, but simply retaining the risk entirely for yourself.
Whether you "put away" money for a future repair is not a cost or risk issue but simply a funding issue. If you have the dough, it matters not if you segregate the funds or not. If you don't have the dough, well that is what loans are for.
From my perspective, this issue of warranty is always tied to one's own risk profile. If you hate to have unexpected bills, you can reduce, but not eliminate, this psychic pain by paying upfront, knowing that you MAY NOT receive any of this money back. Then again, you may receive more of it back and the peace of mind of having the protection.
So, while we may want to think there is a correct answer here, the only real answer is, it depends on your cirucumstances and your feelings.
Hey, let the good times roll!
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