Auto warranty refers to a repair and maintenance agreement executed by the vehicle dealer in association with the vehicle manufacturer. Warranty is issued for all cars irrespective of the make and model. However, if the vehicle is too old, it will not be given any warranty since the risks of insuring such categories of vehicles is greater. 
The warranty comes in two categories. The first category is new car warranty, given to brand new cars. The second category is used car warranty, given to pre-owned cars or used cars. The used car warranty is also known as the aftermarket auto warranty. The used car warranty is costlier when compared to the new car warranty. Both warranties are issued by the auto dealer in association with a third party agent. The warranty is given on the basis of two factors. They are time and distance. Warranties are available for a period of up to three years on the basis of time. Similarly, the warranty will be extended up to 30,000 miles covered by the vehicle. 
Hire an auto consultant before settling for an auto warranty. Review at least five different offers from various service providers before choosing the best warranty for the car.