Magsafe problems and apple care

Hello folks,
It seems like my Magsafe power adapter has finally kicked the bucket. I noticed that the portion of cord nearest to the brick that gets plugged into the wall started melting and frayed wires became visible in the exposed jumble of internal stuff. The area where is melting/fraying occurred is also slightly (ever so slightly) brown. I have apple care on my mac book pro, are these kind of things covered by warranty?
Also I have discontinued using the adapter and am running only on battery power (two hours left!)

Folks,
This is just a follow-up. I took my Macbook Pro and frazzled/melted Magsafe connector to my nearest Apple Store, which happens to be in Shibuya Tokyo. They exchanged it for a new one, almost no questions asked. Except the clerk did ask if I was "injured" by the melting. Apple care, best warranty ever, even works overseas!
Oh and it seems like wrapping the cord of the Magsafe may contibute to the melt downs. According to the clerk, I mean Genius' explanation one shouldnt wrap the cord around the Magsafe when stowing it. Hmm....

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