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An express warranty is one that is clearly stated (or "expressed") either verbally or in writing, while an implied warranty automatically covers most consumer goods valued over a certain amount, but only provides a base level of protection for consumers.

Warranties payable. Warranty liability is an example of an estimated liability.

Warranties in insurance contracts can be divided into two types: affirmative or promissory. An affirmative warranty is a statement regarding a fact at the time the contract was made. A promissory warranty is a statement about future facts or about facts that will continue to be true throughout the term of the policy.

Limited warranties are substantially more common. Understanding the difference between the two main warranty types will help you make better consumer choices. See 's Product Warranties and Returns section for additional articles, including Consumer Warranty Basics.