Auto warranty refers to a service under which the car dealer in association with a local firm takes up responsibility for the repairs and maintenance of a car for a brief period from the date of sale. For instance, if a particular vehicle develops a mechanical failure or engine fault, the repair charges will be covered under the warranty. A vehicle owner doesn’t have to pay for the cost incurred to repair the car.

The auto warranty covers some basic aspects of the car like engine, drive train, power train, break system, steering system and other small repairs.

An auto warranty comes in two categories. They are original warranty and after-market warranty. Original warranty is the warranty issued to the car owner at the time of purchasing a brand new car from the vehicle dealer. This original warranty comes for a limited period of three years or the minimum distance covered during that period.

Once the original warranty period expires, car owners can choose an after-market auto warranty. They are called so since they can be subscribed to only after the original warranty period expires.

Just like original warranty, the after-market auto warranty comes loaded with features. The best known package under after market auto warranty is the ‘bumper-to-bumper’ package, which takes care of the entire vehicle.