Interesting, I buy warranties for almost all electronics I get at WalMart and I've never had an issue with a claim.
In fact, twice they gave me my money back and let me keep the item. Once, I had something weird happen that took out 1 HDMI connection on two of my tvs. One was still under warranty. Called them up, told them the problem, they said they'd send me a check for the purchase price. I asked if I could take the tv back to WM or if I had to mail it. They said nope, you can keep it.
Free tv...I can handle 1 HDMI out of 3 not working for a free TV. YMMV