Does Car Insurance Cover Aftermarket Parts?

Aftermarket parts encompass a wide range of enhancements not manufactured by the original car maker. Does car insurance cover aftermarket parts? Let’s find out.
Does car insurance cover aftermarket parts
Does Car Insurance Cover Aftermarket Parts?
Does car insurance cover aftermarket parts? Yes, but this varies across policies and providers. Read on to know more.
In this article

Car insurance coverage can be a complex realm, especially when it comes to aftermarket parts. Does car insurance cover aftermarket parts? Many vehicle owners invest in modifications and enhancements, but understanding if and how these alterations are protected under insurance can be a complex maze to navigate. Let’s delve into the world of aftermarket parts and insurance coverage to shed light on these critical aspects.

Does Insurance Cover Aftermarket Parts?

Yes, insurance may cover aftermarket parts. Insurance coverage for aftermarket parts varies across policies and providers. Aftermarket components, which are non-original parts designed to replace or upgrade factory-installed elements, pose unique considerations for insurance coverage.

A comparison of car insurance quotes on Beem can help you get the best deal and provide the coverage you need in case of an accident.  

What Are Aftermarket Parts?

Aftermarket parts encompass a wide range of enhancements not manufactured by the original car maker. These can include modifications to improve performance, aesthetics, or functionality, such as upgraded stereos, custom rims, or specialized exhaust systems.

Replacement Parts and Accessories

Replacement parts and accessories are direct replacements or add-ons for original parts, ensuring compatibility and functionality for specific vehicle models. From simple replacements like brake pads to add-ons like roof racks, replacement parts and accessories offer customization and restoration options.

Aftermarket Parts and Vehicle Modifications

Vehicle modifications and aftermarket parts impact auto insurance coverage. Installing aftermarket parts alters a vehicle from its original state. These alterations can impact insurance coverage, valuation, and risk assessment, from minor cosmetic changes to significant modifications affecting performance.

Will the Insurance Company Pay If I Have Aftermarket Parts on My Vehicle?

No, the insurance company may not pay for aftermarket parts on your vehicle.

The coverage for aftermarket parts largely depends on policy specifics. Insurance may cover these enhancements in some cases. Still, clarifying and ensuring that modifications are appropriately accounted for in the policy is crucial.

Can I Add Insurance Coverage for Aftermarket Parts?

Yes. You can definitely add insurance coverage for aftermarket parts. Still, it often comes at a cost and might not be offered by typical car insurance companies.

Opting for additional coverage, such as a custom parts and equipment (CPE) endorsement, can safeguard aftermarket modifications beyond the standard policy coverage. This optional addition ensures adequate protection for these specialized enhancements.

Aftermarket Parts and Vehicle Repairs After an Accident

After an accident, using aftermarket parts for repairs becomes a key consideration. Expecting shiny new parts from the original manufacturer might not align with reality. Insurance companies often opt for aftermarket parts due to cost-effectiveness. While these parts are cheaper, they might devalue your vehicle. You can choose to pay the extra cost for the original parts. You also have the right to know and approve the repairs and parts the body shop intends to use.

Aftermarket Parts and Patent Infringement

The use of aftermarket parts and patent infringement is a legal concern. It questions whether third-party companies can produce these parts without paying royalties to the original manufacturer. Infringing on patents with aftermarket parts can pose insurance coverage challenges. Using parts that violate patents could lead to legal complications and potential gaps in coverage. 

What Is Custom Parts Coverage?

Custom parts coverage refers to insurance protection for non-factory components added to a vehicle. It ensures reimbursement for custom upgrades, like stereo systems or rims, if damaged, stolen, or lost, often as an optional addition to standard auto insurance policies.

What Modifications Need Extra Insurance?

Certain modifications, such as engine enhancements or significant body modifications, often necessitate additional insurance coverage due to increased risk and impact on a vehicle’s value.

Does Regular Insurance Cover Aftermarket Parts?

No, standard car insurance usually doesn’t cover aftermarket parts that enhance a vehicle’s performance or appearance. These modifications fall outside the scope of typical coverage and might require additional insurance for protection against damages or theft.

Does Insurance Cover Rim Damage?

Yes, collision coverage typically compensates for rim damage and tire harm resulting from potholes. However, coverage for custom rims may require separate insurance since not all insurers include them in standard collision coverage, ensuring protection for these specific enhancements.

What Do I Need For Aftermarket Parts Insurance Coverage?

To insure aftermarket enhancements like upgraded stereos, custom rims, or modified suspension, consider adding a custom parts and equipment (CPE) endorsement to your auto insurance policy. This optional coverage safeguards additions such as tinted windows, cosmetic paint, and other modifications beyond standard coverage.


In short, does car insurance cover aftermarket parts? Yes, but this varies across policies and providers. Navigating car insurance coverage for aftermarket parts requires a clear understanding of policy terms, potential impacts of modifications on coverage and valuation, and proactive communication with insurers. Evaluating the need for additional coverage and understanding the implications of modifications can ensure adequate protection for your customized vehicle. Understanding the intricacies of aftermarket parts and insurance coverage empowers car owners to make informed decisions and safeguard their investments in vehicle enhancements. 

You can use Beem to find the best car insurance quotes to help you make the right choice.

FAQs: Car Insurance For Aftermarket Parts

If the insurance company totals my car, who owns the aftermarket parts?

After an insurance total loss, aftermarket parts typically belong to the car’s owner unless otherwise agreed upon in policy terms.

Will modifying my car increase my risk and affect my insurance rates?

Modifying your car can heighten risk and impact insurance rates as changes to the vehicle’s value and safety may influence coverage costs. Insurers evaluate these alterations for rate adjustments.

If someone hits me, will their insurance company pay for my modifications?

Generally, the at-fault driver’s insurance should cover your car’s modifications if they cause the accident. Their insurance handles damages, including modifications deemed their responsibility in the collision.

Are there modifications that make a car uninsurable?

Certain extreme modifications, like removing critical safety features, can render a car uninsurable due to increased risk and safety concerns.

My car isn’t worth much, but the custom parts are; what should I do?

Consider obtaining specialized coverage for the valuable custom parts separately. Get an appraisal and explore options to insure these parts adequately, safeguarding their worth despite the car’s lower value.

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Picture of Aniket Kulkarni

Aniket Kulkarni

A seasoned Product Manager specializing in car insurance content, Aniket has a passion for simplifying complex insurance concepts. His strategic approach to content development reflects years of experience in the product development industry, coupled with a commitment to providing accurate, reliable information.


This page is purely informational. Beem does not provide financial, legal or accounting advice. This article has been prepared for informational purposes only. It is not intended to provide financial, legal or accounting advice and should not be relied on for the same. Please consult your own financial, legal and accounting advisors before engaging in any transactions.

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