Meaning :  

A warranty is defined as a contractual guarantee issued by the seller or  manufacturer that commits to repairing or replacing a product should it fail to function  as intended within a specified duration.

Example :  

For example, acquiring a refrigerator with a 1-year warranty means that the  manufacturer will cover any necessary repairs or replacements at no cost to the  consumer during that period.

How to Understand :

A warranty serves as a promise regarding the quality and durability of a product,  alleviating the financial burden of repair costs immediately following the purchase.

Importance :

It protects consumers from unexpected repair expenses, enhancing their financial  security.

A warranty ensures product reliability and quality assurance, fostering trust in the brand.

It provides consumers with confidence when investing in expensive items, knowing they  have recourse in case of defects.

Warranties facilitate informed comparisons between brands based on the extent and  benefits of their warranty offerings.