Some insurance policies cover aftermarket parts while some do not. The original manufacturer’s components that are utilized to replace or repair damaged auto parts are often covered by auto insurance. Your insurance coverage could not cover the aftermarket parts you have added to your car. This may include performance enhancements, a high-end sound system, or custom wheels.
Additionally, certain insurance providers could allow you to add coverage for aftermarket parts to your policy at an extra cost. Also, let your provider know about any aftermarket parts you have added to your vehicle when you buy a policy. Moreover, you may make sure that in the case of an accident or other covered incident, you have the right coverage. Maintaining receipts and supporting paperwork for aftermarket parts is beneficial as it may be useful in submitting a claim for damages.
What are aftermarket parts?
Aftermarket parts are parts you utilize in your car that aren’t made by the original manufacturer. When you purchase a new car directly from the manufacturer, certain items are not included. Moreover, the vehicle’s look may or may not be noticeably altered by aftermarket parts. They might be an aesthetic addition to the car or a useful part of what keeps the machine running.
How Aftermarket Parts Work with Insurance
Aftermarket parts are often cheaper than OEM parts, leading drivers to choose them to save on costly vehicle repairs. The insurer can modify the policy’s coverage in the future if the vehicle policy can cover business repairs to use aftermarket parts instead of OEM parts. Additionally, it can be up to 50% less expensive than OEM parts, saving drivers over $2.2 billion a year on repairs.
They are also less expensive for insurers, which may result in lower total vehicle insurance costs. However, since they are not required to cover them, insurance companies like aftermarket parts just as much as the cost-conscious customer does. If you’re buying a new insurance policy or checking an old one, the aftermarket coverage is typically located under the section on components and equipment.
Although the coverage may have very low levels, this section of the insurance can cover damage to aftermarket parts. Furthermore, the insured may occasionally choose to acquire extra coverage for aftermarket parts, particularly if the vehicle has been upgraded with parts not supplied by the manufacturer.
Types of Aftermarket Parts
Aftermarket parts come in two types, which include accessories and replacement components. When your car requires routine maintenance or is involved in an accident, you replace the original parts. Moreover, accessory parts are parts that you install on your car to change how it looks or works. Furthermore, aftermarket parts might be stylish or useful.
What are the differences between aftermarket parts and OEM parts?
There are typically two options for replacing automobile parts without insurance or vehicle modifications. This includes aftermarket parts or OEM (Original Equipment Manufacturer) parts. OEM components are directly supplied by the vehicle’s original manufacturer, while aftermarket parts are sourced from a third-party manufacturer.
Because OEM components are produced by the original manufacturer, there is a widespread belief that they are superior to aftermarket parts. Furthermore, as the manufacturer determines the quality, you can locate aftermarket parts that are either as good as or better than the corresponding OEM parts.
Will Insurance Companies Cover If I Have Aftermarket Parts on My Car
The coverage provided by your insurance policy changes when you put aftermarket parts on your car. Additionally, your insurance provider can surprise you by refusing to cover your aftermarket parts if you don’t take care of it before an accident happens. However, your policy may not cover the cost of minor improvements that significantly increased the market value of your car.
Certain insurance policies may not provide coverage for replacement parts, while others merely provide extremely limited coverage. Furthermore, one of these two groups applies to the majority of typical insurance coverage. You should check the collision and comprehensive parts of your insurance policy to see if you are covered for aftermarket parts.
Why Do Insurance Companies Write Estimates That Cover Aftermarket Parts for Repairs?
Insurance companies include aftermarket components in their repair estimates due to their potential cost savings and ability to cover a vehicle to pre-loss condition. This keeps the cost of repairs under control, which lowers rates for all policyholders. Moreover, if your repair shop chooses to utilize OEM instead of aftermarket parts to cover the car to its pre-loss state, you could be responsible for the expenses.
Can I Add Insurance Coverage for Aftermarket Parts?
It is possible to provide insurance coverage for aftermarket parts. However, it may not be offered by a standard auto insurance provider, and it is frequently costly. There are several actions you may take to be sure your car is covered for aftermarket items.
Firstly, you can find out if your insurance provider provides coverage. You might be able to settle on a predetermined amount for your vehicle. Alternatively, the insurance provider could provide different degrees of coverage in your collision and comprehensive insurance. Also, insurance providers also offer coverage for one-of-a-kind and distinctive automobiles. Furthermore, one of these plans or providers could be able to offer you the insurance coverage you need.
