Coupon
SquareTrade is offering 30% off their warranties with coupon code THIRTY30. A 2-year warranty for the iPad 2 is $100 - 30% off code = $70. Covers normal use plus drops and spills, which AppleCare does not.
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About the same price as Costco. Be sure to bring the receipt with you if you didn't buy the item at Costco.
I have used squaretrade in the past....i had a GPS that I hosed by trying to hack it (for some reason, who knows what I was thinking) and since it wouldn't have been covered, I told them I got rid of it and the pro-rated me what I paid for the warranty.