I had a square trade warranty on my Kindle III. Well, it cracked and the screen messed up. So, I filed a claim. They didn't send a replacement - rather, I received an Amazon gift card for the cost of my purchase (+ 5% because I chose the gift card), which I promptly put toward the purchase of a new Kindle model. I don't expect they'd do anything different with the Fire warranties.
I currently have about 5 warranties on various items with Squaretrade.So far they repaired a first generation Kindle and just last week i got a check for the total purchase price of a destroyed Kindle 2nd gen. that got smashed up.They even offered me 5% more if i accepted an Amazon credit as repayment.Don't listen to any bs from other people as they are a GREAT company.Just be sure and upgrade to accidental coverage for a few dollars more.I hope i have given you peace of mind.
According to what they say on the Amazon site, they automatically send you another Kindle (not sure if refurb or not), and if you don't send your damaged one to them within 30 days, they will charge you for the one they sent you. They pay shipping of the new one to you, and for you to send you damaged one to them.
I'm thinking of purchasing the 2-squaretrade warranty+accidentprotection for Kindle Fire. If, anything goes wrong, do they fix mine if fixable, get a new one if not fixable, or a refurbished kindle fire? I would not want anything refurbished!