Abstract
Manufacturers of goods and services often endorse the superior quality of their products by offering the consumers a warranty. Often the warranty is for a specified period of time; sometimes it is for a specified time and usage, whichever is the smaller. The automobile is an example of this latter scenario. With either case, the issue of reliability is germane. Quantified measures of reliability are necessary for designing a warranty and for forecasting financial reserves against future warranty claims; they are also very useful in litigation involving violations of the terms of the warranty. This article is an overview. Its aim is to highlight some of the probabilistic, statistical, and econometric issues that the topic of warranties has spawned. Collectively, these issues should constitute the core of any mathematical theory of reliability; thus this entry in an expository perspective on reliability.
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Singpurwalla, N.D. (2004). Warranty: A Surrogate of Reliability. In: Soyer, R., Mazzuchi, T.A., Singpurwalla, N.D. (eds) Mathematical Reliability: An Expository Perspective. International Series in Operations Research & Management Science, vol 67. Springer, Boston, MA. https://doi.org/10.1007/978-1-4419-9021-1_17
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DOI: https://doi.org/10.1007/978-1-4419-9021-1_17
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