Depends on how paranoid you are, so if it makes you feel better then buy it. I personally never buy extended warranties just because electronics usually have problems in the first year, which 1yr warranties are usually standard with most electronics. The money you save over your lifetime from avoiding these things adds up.
I have Apple Store like an hour and a half away from me. I would rather ship it than drive though because it is free to ship it and they ship it back free. Now in most cases you will get it back within a week but in some cases it can take longer depending on the problem or part. I think if you take it to an Apple Store, depending on the problem they ship it off anyways.
As far as Applecare question I say no, it's not worth it. Of course you will get people here who swear by it and will tell you it is worth it. Either way, hope you are happy with whatever decision you do make.