Car customization is one of the most exciting ways to personalize a vehicle, whether it’s sleek new rims, a premium sound system, or a custom paint job that makes your car stand out. But here’s the catch: standard auto insurance usually won’t cover those upgrades.
Insurers calculate policies based on your car’s original factory build. That means your aftermarket additions — no matter how valuable — often aren’t included unless you add extra coverage. This is where Custom Parts and Equipment (CPE) insurance comes into play.
What Is Custom Parts and Equipment Insurance?
Custom Parts and Equipment insurance is an optional endorsement you can add to your existing auto policy. It’s designed to cover aftermarket modifications that enhance your vehicle’s look, comfort, or performance.
- Typical coverage limits: $2,000–$10,000 (most common is $5,000)
- Cost: Just a few extra dollars per month (about 10% of the modification’s value)
- How it works: Added onto your collision or comprehensive coverage with the same deductible applying
This means if your car is stolen, vandalized, or involved in an accident, your aftermarket parts will also be protected.