Read the service contract to find out exactly what is covered. How limited is limited? I noticed something about a deductible on the sticker - how much is it?
Just realize that the policy is probably next to worthless (due to exclusions, deductibles, &c) and you WILL pay for it. There may not be a line on the paperwork saying "$xxx for ltd warranty" but you will pay for it.
Don't let my opinions on the "free" warranty keep you from buying the car. If you like the car and are comfortable with the OTD price, go for it. The warranty paperwork shouldn't take up too much room in the glove box.
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