Auto warranty refers to the repair and maintenance service provided by the vehicle dealer for a defined period of time from the date of sale of the car. It is an obligatory duty on part of the vehicle dealer to offer this service. New car warranty refers to a warranty issued to brand new cars released from the showroom.

The new car warranty covers the repairs and maintenance of the car’s engine, drive train, power train, break mechanism and steering system. However, it does not cover the replacement of expensive spare parts. It can be replaced only by claiming auto insurance. As per rules, if any faulty or defective part of the vehicle is responsible for its poor performance, it has to be replaced with another genuine spare part under the warranty.

A new car warranty is issued on two separate terms. The first is the duration or time schedule. For instance, the warranty is offered for a period ranging from three months to three years. During this period, the warranty will be in operation. The second is the mileage of the car. Under this contract, a new car warranty will be offered for up to 3,000 miles or 30,000 miles covered by the vehicle. Opt for a bumper to bumper warranty since it takes complete care of the car.