The standard 1-year Apple Care warranty only covers defects in materials and workmanship, not damage due to accidents.
Apple's Limited Warranty http://www.apple.com/legal/warranty/ for iPad excludes coverage for damage resulting from accident, disassembly, unauthorized service and unauthorized modifications.
If you own an iPad that is ineligible for warranty service but is eligible for Out-of-Warranty (OOW) Service, Apple will replace (Apple doesn't repair) your iPad with an iPad that is new or equivalent to new in both performance and reliability for the Out-of-Warranty Service fee listed below. (The replacement will most likely be a refurbished iPad in a brown box, however, it has a new screen, back and battery.)
iPad model Out-of-Warranty Service Fee iPad mini $219 iPad 3rd, 4th generation $299 iPad 2, iPad $249
A $6.95 shipping fee will be added if service is arranged through Apple and requires shipping. All fees are in US dollars and are subject to local tax.
Certain damage is ineligible for out-of-warranty service, including catastrophic damage, such as the device separating into multiple pieces, and inoperability caused by unauthorized modifications. However, an iPad that has failed due to contact with liquid may be eligible for out-of-warranty service. See http://support.apple.com/kb/index?page=servicefaq&geo=United_States&product=ipad
Make a Genius Bar Reservation
You may can get the iPad repaired at 3rd party repair sources for less $, however, any remaining Apple warranty will be voided.
iPad Repair & Screen Replacement Services
RepairZoom iPad Repair