I always buy the extended warranty even though I know it is usually a bad deal because the thought of something breaking and having to pay keeps me awake at night.
More people experience this than they realize.
Disproportionate fear of low-probability high-impact events can justify systematically negative expected value purchases as emotional insurance.
“Where Are You with Behavioral economics — biases in financial decisions?”
If this sounds familiar, the Library can help you find the bigger picture.