A warranty is a term in an insurance contract. Usually it is the insured who has to do something or refrain from doing something in order for the policy to stay covered.

If a claim occurs and the insured is not in compliance with the warranty, then the coverage would not be there to cover the claim. It is also likely that the insurance would be canceled. An example would be, a welder who warrants that all welding takes place at one location and is never done off site (mobile).

A warranty is like a condition but must be strictly followed whereas a condition can be substantially followed.