protection plan question

I talked to customer support about a problem with my receiver. It was determined that I was going to need a replacement.. He suggested that I have a tech to come out and replace it, and said that if I purchased the protection plan that there would be no cost to me, and that I could cancel the plan at anytime without penalty. I then pressed him and said, "So your telling me that if I had a tech come out and then canceled the plan a month later that I could without any penalties or cost to me except the 8.99 monthly fee," He said that that was correct.

Is this true?