Ok, guys this is what was posted in amazon discussion by Dimond Jasuja.

Diamond Jasuja says:
Denys, I just finished taking to a rep at Square trade about the warranty. He said we dont need to cancel the warranty even if we cancel the order at Amazon. The reason for this is the phone is sold by Amazon and warranty is from Square trade. Even if we get the phone from Amazon, we still need to report the purchase (with invoice) to Square trade to activate the warranty.

He told me to create the warranty account at Square trade website and send the purchase proof(invoice) to them. However he mentioned, the restriction is only with the price we pay for the item. This warranty I think is only for items up to $600 so we are good.