Will AppleCare cover my problem?

I have a smudge similar to the one in the thread below.
https://discussions.apple.com/thread/3900377?start=0&tstart=0
I also hear a cracking or clicking noise when adjusting the angle of my screen display, a problem I believe to be related to the unibody.
My question is, when I set up an appointment to get this fixed, will AppleCare cover the costs? Also, will I have to have my computer backed up, because I do not have an external hard drive at this point. I'm sure it will take a week or so to fix these issues, but my main concerns are the issue of AppleCare covering these problems and the need to back up my computer before sending it in. Please let me know what steps should be taken beforehand in adressing these issues. Thanks in advance!

Yes, assuming they are defects in workmanship or components and not caused by user negligence.
You should make a bootable clone of your hard drive before taking it in for repair. Buy an external hard drive.
Clone Lion/Mountain Lion using Restore Option of Disk Utility
Boot to the Recovery HD:
Restart the computer and after the chime press and hold down the COMMAND and R keys until the menu screen appears. Alternatively, restart the computer and after the chime press and hold down the OPTION key until the boot manager screen appears. Select the Recovery HD and click on the downward pointing arrow button.
     1. Select Disk Utility from the main menu then press the Continue
         button.
     2. Select the destination volume from the left side list.
     3. Click on the Restore tab in the DU main window.
     4. Select the destination volume from the left side list and drag it
         to the Destination entry field.
     5. Select the source volume from the left side list and drag it to
         the Source entry field.
     6. Double-check you got it right, then click on the Restore button.
Destination means the external backup drive. Source means the internal startup drive.
You will be given an estimate of repairs before they are done, so you will find out what is covered under your warranty.
I would remove any sensitive information from your hard drive before taking the computer in for service.

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