A warranty is a repair and maintenance service offered by a product manufacturer to the customer. All consumer products are sold with a warranty. The warranty is offered for a period of two years from the date of its sale. During this period, any manufacturing defect has to be repaired for free by the dealer. Warranty is also offered to automobiles. It is called auto warranty. Auto warranty is considered lifeline for cars considering the services given by the dealer.  
Auto warranty is given on the basis of two factors. The factors are time and distance. For instance, the warranty period can range up to two years or up to 30,000 miles covered by the vehicle. There is a third category of warranty, which is an combination of the two factors. The warranty period will expire when either of the two factors is met. The auto warranty is operated by a third party, which has an agreement with the auto dealer and vehicle manufacturer.  

The auto warranty takes care of the cost of the repairs of the vehicle’s drive train, power train, engine, steering mechanism and brake system. However, it does not take care of the cost of the replacement of certain spare parts.