How To Insure Aftermarket Parts On Your Vehicle (2023)
Auto insurance for aftermarket parts is more difficult to get than normal auto insurance coverage. You may have to pay higher rates for the additional aftermarket parts that you have fitted into your car.
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Justin Wright
Licensed Insurance Agent
Justin Wright has been a licensed insurance broker for over 9 years. After graduating from Southeastern Seminary with a Masters in Philosophy, Justin started his career as a professor, teaching Philosophy and Ethics. Later, Justin obtained both his Property & Casualty license and his Life and Health license and began working for State Farm and Allstate. In 2020, Justin began working as an i...
Licensed Insurance Agent
UPDATED: Jul 27, 2023
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident auto insurance decisions. Comparison shopping should be easy. We are not affiliated with any one auto insurance provider and cannot guarantee quotes from any single provider.
Our insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.
UPDATED: Jul 27, 2023
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident auto insurance decisions. Comparison shopping should be easy. We are not affiliated with any one auto insurance provider and cannot guarantee quotes from any single provider.
Our insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different companies please enter your ZIP code on this page to use the free quote tool. The more quotes you compare, the more chances to save.
On This Page
- Some insurers may drop you if you inform them of the aftermarket parts installed onto your car due to increased risk.
- Statistics have shown a positive relation between high-risk drivers and the number of aftermarket parts installed on their vehicles.
- Hagerty Insurance specializes in auto insurance for aftermarket parts.
So, after watching The Fast and the Furious 6, you feel like adding those custom aftermarket auto parts to your car, don’t you?
Maybe a spoiler here, neon lights beneath your car’s chassis, and a few aftermarket parts that’ll give your car that extra oomph. What about the custom exhausts pipe, or the turbo engine that makes your presence heard for miles around you? That’d be awesome, right?
But does insurance pay for aftermarket parts? What are the details surrounding auto insurance for aftermarket parts? Before you get these aftermarket parts out of impulse (and partly out of idolatry for the cool cars featured in the movie), think about this very real-life problem not usually encountered in the movies: who’s going to provide affordable aftermarket parts car insurance?
Your insurance company may use aftermarket parts for repair, but what if you’re adding them to get some extra pizzazz and power? That’s what we’re going to be talking about.
Even if some of your parts are aftermarket, get quotes for FREE from multiple insurance companies. Enter your ZIP code to get started.
Does insurance cover aftermarket parts?
You will have to note that your usual insurer might drop you if you inform them of the aftermarket parts that you’ve fitted onto your car. Sure, it makes your car looks menacing, and it’ll go from 0-60 mph in four seconds, but this could cause them to think you’re too risky to insure — modified cars and safe drivers don’t really go well together.
Even if they do in your case, be prepared to pay a high premium for the aftermarket parts that you’ve fitted into your car. That’s because auto insurance for safe drivers will cost you a lot less than auto insurance for a daredevil — which you may be labeled by your insurer due to your souped-up vehicle.
In addition, you’ll be slapped with a whole series of restrictions. Your insurer will probably forbid your car from even touching a racetrack.
If you were to get into an accident while in a racing event, you would not be able to claim a single cent from your auto insurance for your “blinged-out” car. They might even void your auto insurance contract.
Also, there will be mileage restrictions — you can only drive below a certain distance in a stipulated period of time. This is to prevent you from actually putting your car too much at risk by simply being on the road; your aftermarket parts-loaded vehicle will probably be sitting in the garage most of the time.
Your auto insurance rates will vary, but they will be higher than normal auto insurance. The table below shows average classic car auto insurance rates.
| States | Average Annual Liability Insurance Rates | Average Annual Comprehensive Insurance Rates | Average Annual Collision Insurance Rates | Average Annual Full Coverage Insurance Rates |
|---|---|---|---|---|
| North Dakota | $178.91 | $138.62 | $146.45 | $463.98 |
| Iowa | $179.51 | $110.12 | $131.85 | $421.48 |
| South Dakota | $180.13 | $154.87 | $125.15 | $460.15 |
| Wyoming | $192.62 | $148.54 | $167.30 | $508.46 |
| Maine | $203.32 | $62.99 | $155.99 | $422.29 |
| Vermont | $205.87 | $75.29 | $177.25 | $458.41 |
| Idaho | $206.57 | $69.93 | $131.43 | $407.93 |
| Kansas | $214.94 | $144.82 | $158.00 | $517.76 |
| North Carolina | $215.65 | $81.65 | $176.15 | $473.45 |
| Nebraska | $218.78 | $137.55 | $142.28 | $498.61 |
| Wisconsin | $224.62 | $82.09 | $135.60 | $442.31 |
| Indiana | $229.61 | $73.24 | $150.17 | $453.02 |
| Montana | $231.77 | $127.15 | $159.19 | $518.11 |
| Arkansas | $236.48 | $114.25 | $193.08 | $543.80 |
| Alabama | $236.53 | $93.79 | $190.78 | $521.09 |
| Ohio | $238.27 | $72.97 | $161.90 | $473.14 |
| New Hampshire | $240.34 | $66.46 | $184.45 | $491.25 |
| Tennessee | $248.35 | $89.07 | $185.44 | $522.86 |
| Missouri | $249.53 | $108.76 | $165.17 | $523.46 |
| Virginia | $255.37 | $81.92 | $168.31 | $505.60 |
| Illinois | $268.03 | $76.88 | $185.83 | $530.74 |
| Minnesota | $274.09 | $110.56 | $140.64 | $525.29 |
| Hawaii | $275.12 | $60.94 | $187.90 | $523.97 |
| Mississippi | $276.30 | $126.20 | $193.93 | $596.43 |
| Oklahoma | $276.61 | $135.50 | $191.08 | $603.19 |
| New Mexico | $292.82 | $103.54 | $166.19 | $562.55 |
| California | $293.80 | $60.32 | $237.93 | $592.05 |
| West Virginia | $295.10 | $122.57 | $197.80 | $615.47 |
| Utah | $298.52 | $65.70 | $159.54 | $523.76 |
| Pennsylvania | $299.44 | $86.53 | $196.34 | $582.31 |
| Arizona | $305.26 | $111.67 | $166.78 | $583.71 |
| Colorado | $312.02 | $104.77 | $172.20 | $588.98 |
| South Carolina | $316.25 | $108.56 | $159.04 | $583.86 |
| Texas | $317.25 | $123.85 | $224.69 | $665.80 |
| Kentucky | $317.53 | $84.83 | $160.75 | $563.11 |
| Alaska | $323.81 | $82.36 | $210.49 | $616.65 |
| Georgia | $334.43 | $95.51 | $199.10 | $629.04 |
| Oregon | $350.48 | $56.32 | $136.10 | $542.90 |
| Washington | $358.00 | $63.83 | $159.44 | $581.28 |
| Massachusetts | $363.62 | $80.98 | $232.97 | $677.57 |
| Maryland | $365.84 | $91.63 | $212.39 | $669.87 |
| District of Columbia | $377.29 | $139.94 | $281.20 | $798.44 |
| Connecticut | $390.56 | $78.97 | $221.11 | $690.64 |
| Nevada | $408.94 | $70.58 | $182.32 | $661.83 |
| Rhode Island | $455.88 | $79.31 | $246.91 | $782.10 |
| Louisiana | $465.50 | $129.10 | $248.62 | $843.22 |
| Michigan | $477.19 | $92.91 | $248.30 | $818.40 |
| Delaware | $479.58 | $73.49 | $191.26 | $744.34 |
| New York | $482.71 | $102.67 | $231.01 | $816.40 |
| Florida | $514.58 | $69.92 | $169.78 | $754.28 |
| New Jersey | $521.74 | $78.81 | $229.12 | $829.67 |
Whether you have a classic or are just adding a few mods, expect your rates to be higher than normal auto insurance for a plain Ford Focus or Toyota Camry.
Read more: Affordable Toyota Auto Insurance Quotes
And there are reasons why your insurer may not want to cover your aftermarket parts. This video from HumbleMechanic goes over some of the differences.
OEM parts are simply safer. And used parts can’t be tested if they’ve been damaged in any way. This makes them less safe, and insurers believe that could result in greater physical damage to your vehicle.
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Specialty Auto Insurance Companies for Aftermarket Parts
Luckily for you, there are specialty companies available. A car parts insurance company known as Hagerty Insurance specializes in insuring vehicles that come loaded in aftermarket parts. You’ll definitely be able to get quotes from this insurer for your fully-customized car.
However, the premiums don’t come cheap — sometimes, they reach up to $2,500 per year. In addition, the conditions that were mentioned in the previous section apply — you can’t take your car on the racetrack and can only drive a certain number of miles.
There’s also this thing called the “Totaled Cap,” where you’ll only be paid this agreed sum of money in the event that your vehicle is totaled. Usually, this only encompasses the aftermarket parts that you have fitted onto your car. For example, say you have about $100,000 worth of aftermarket parts on your vehicle.
This video from Heacock Classic talks about how these insurers might approach writing a policy for your modified vehicle. They might insure it based on an agreed-upon value rather than stated value.
The insurance company will then agree to pay you $100,000 in the event that your car is totaled. In this situation, you’ll only be getting $100,000 and will forfeit the value of your vehicle. This is why most people buy an old model, like the 95’ Acura Integra; the value of the car is so low that the auto parts insurance is negligible.
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Why Auto Insurance for Aftermarket Parts is so Expensive
Simple: because you’re a high-risk driver. Statistics have shown a positive relation between high-risk drivers and the number of aftermarket parts they have installed onto their vehicles.
We’re not talking about aftermarket replacement parts of OEM parts that are fitted after an accident in the repair workshop; we’re talking about aftermarket custom car parts like engines and carbon-fiber hoods. In essence, these cars are modified for one sole purpose: to race and to win.
And that’s dangerous. The National Highway Traffic Safety Administration reports that there were over 100 road fatalities in 2007 directly resulting from illegal street races. Racing may seem fun to you, but insurers don’t agree.
To understand auto insurance and rates increases, it’s pretty simple. If an insurance company thinks you’re high-risk, they’ll charge you more to offset their potential claims costs.
As such, with all these races you’re taking part in, it’s inevitable that you’ll burn out your car during the race, or get some sort of damage to your car one way or another. Even though the auto insurance contract explicitly says that you cannot take part in races, but you may do it anyway. You can’t blame these insurance companies for charging high premiums for insuring aftermarket parts.
With the aftermarket parts finally fitted to your car, your next challenge begins: You’ll have to find an auto insurance company that’s willing to take your 600bhp 95’ Acura Integra under its umbrella.
This process is not easy — you may be rejected outright because you’re a high-risk driver, or you might be slapped with exorbitantly high auto insurance rates for insuring your aftermarket parts. It’s going to be tough, but hey, at least your car can go from 0-60 mph in less than five seconds.
Get the right coverage for your modified vehicle. Enter your ZIP code to get FREE quotes from multiple auto insurance companies.
Frequently Asked Questions
What are aftermarket parts for vehicles?
Aftermarket parts refer to any vehicle components or accessories that are not manufactured by the original equipment manufacturer (OEM). These parts are typically produced by third-party companies and can include items like performance upgrades, customized body kits, or upgraded audio systems.
Do I need to insure aftermarket parts on my vehicle?
Yes, it is recommended to insure aftermarket parts on your vehicle, especially if they hold significant value. While standard auto insurance policies typically cover original equipment, they may not automatically include coverage for aftermarket parts. Insuring these parts ensures you are adequately protected in case of damage, theft, or other unforeseen events.
How can I insure my aftermarket parts?
There are a few options to insure your aftermarket parts:
- Endorsement/Add-on: Contact your insurance provider and inquire about adding an endorsement or add-on to your existing auto insurance policy. This additional coverage specifically accounts for the value of your aftermarket parts.
- Customized policy: Some insurance companies offer specialized policies designed for modified or customized vehicles. These policies provide broader coverage for aftermarket parts and modifications.
- Collector or classic car policy: If your vehicle falls into the category of collector or classic cars, you may be able to find insurance policies that automatically provide coverage for aftermarket parts and modifications.
How do insurance companies determine the value of aftermarket parts?
The value of aftermarket parts is typically determined by considering factors such as the purchase price, age, condition, and rarity of the parts. You may need to provide documentation, including receipts or appraisals, to support the value you claim for the parts. Consult with your insurance provider to understand their specific requirements for valuing aftermarket parts.
Will insuring aftermarket parts affect my insurance premiums?
Yes, insuring aftermarket parts may affect your insurance premiums. The impact on premiums can vary depending on the value of the parts, the level of coverage you choose, and the insurance company’s policies. Adding coverage for expensive or rare aftermarket parts may lead to a higher premium, but it ensures you have adequate protection for your investment.
Compare over 200 auto insurance companies at once!
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Justin Wright
Licensed Insurance Agent
Justin Wright has been a licensed insurance broker for over 9 years. After graduating from Southeastern Seminary with a Masters in Philosophy, Justin started his career as a professor, teaching Philosophy and Ethics. Later, Justin obtained both his Property & Casualty license and his Life and Health license and began working for State Farm and Allstate. In 2020, Justin began working as an i...
Licensed Insurance Agent
Editorial Guidelines: We are a free online resource for anyone interested in learning more about auto insurance. Our goal is to be an objective, third-party resource for everything auto insurance related. We update our site regularly, and all content is reviewed by auto insurance experts.