If you're interested in extended warranties, check out
SquareTrade. I got an extra 3 year warranty that included accidental damage for $35, giving me 4 full years of coverage. Watch for coupon codes or discount offers for the best price. It was half the price of going through Best Buy, where I actually bought the reader from. Their service is superb as well.
You can still find a few new 350s if you check around on eBay (
such as this one). Check about buying extended warranties when purchased from eBay though, I seem to remember SquareTrade having some rules about that, but possibly only if you buy it used.