Given that the new M1 Macs are basically sealed designs, repair is going to be far more costly than ever before. Consider for a moment that the GPU, CPU, et al are basically one unit. It's not like you can repair it as much as have to replace it. Memory soldered to the board. SSD soldered to the board. Basically anything in it goes wrong and the whole device goes with it.
So is that AppleCare cheaper than outright buying a new computer? Because that is what you are facing.
If you have any sort of insurance, be it automotive, dental, medical, or life... all of it is wasted money if you never actually use it. But should you need it, you will be grateful that you had it 100% guaranteed.
I agree with you, for the most part. However, a lot of money is made on insurance. To an extent, you should only insure things that you couldn’t replace or repair without it. There are companies that will gladly insure almost everything you own. If you insure it all, you’ll absolutely lose.
I’m not sure about how much more costly the new designs are to repair. There are many MacBook repairs that can be very expensive.
Like I said before, it’s 100% about your tolerance for risk and how well you can afford to deal with a repair. It’s a risk both ways. Insurance is sold on the premise that most people won’t need to use it. Otherwise, it would not be profitable. If I have AppleCare on my iPad, Apple Watch, MacBook, and my AirPod Pros, add up how much that costs. If I end up not using the warranty or insurance on any of them, I’ve spent $250/$220 for the MacBook, $150/$219 for the iPhone, $69/$129 for the iPad. At a maximum, that’s $598 pre-tax. Over years, depending on how often one upgrades, that adds up.
I may get AppleCare for my MacBook Pro, but I’m not sure. I already have it on my phone, my wife’s phone, my Apple Watch....