AppleCare Covered Mine
The cord running from the brick to my computer got crimped and frayed. I called Apple and explained my situation, as I have done nothing outside of reasonable, everyday use (putting the cord in and out of my computer bag). They are currently sending me a new cord right now via DHL with delivery expected any minute now.
It is covered under AppleCare (computer is 1 1/2 years old) and I am not being charged for the replacement cord.
Personally, as I explained to the Apple rep., I feel there is a design flaw with the cord. It should not be that thin or the rubber should be a little tougher. A reasonable consumer does not expect to have to baby a power cord.