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Custom Parts & Equipment Coverage

Standard auto policies cap custom parts and equipment coverage at $1,500–$5,000. If you have aftermarket wheels, a turbo kit, a stereo, or a body kit, that cap is gone before you list three items. Specialty coverage schedules your actual investment.

Custom Parts & Equipment (CPE) Coverage

Every major auto insurer offers a "custom parts and equipment" rider — and they're nearly all capped at $1,500 or less. GEICO's standard CPE rider caps at $1,500. Progressive's caps at $5,000. When your wheel set alone costs $3,000 and your turbo kit is $4,000, these caps are effectively meaningless.

What Counts as CPE

  • Wheels and tires beyond OEM specifications
  • Audio/entertainment systems: head units, amplifiers, subwoofers, speakers
  • Performance parts: turbo/supercharger kits, intercoolers, intakes, exhausts, clutches
  • Suspension modifications: coilovers, airbags, sway bars, control arms
  • Aero and bodywork: splitters, diffusers, wide-body panels, aftermarket bumpers
  • Lighting: aftermarket headlights, underbody lighting, LED upgrades
  • Interior: custom seats, steering wheels, shift knobs, roll cages

The Right Solution

For heavily modified vehicles, the better approach is almost always an agreed value policy that incorporates all modifications into a single total value. This avoids itemizing every part and ensures comprehensive coverage without gap analysis.

For vehicles with lighter modifications on otherwise-standard policies, a specialty CPE endorsement with higher per-item limits may be appropriate.

What's Covered

Scheduled aftermarket parts coverage
Wheels and tires beyond OEM
Audio and entertainment systems
Performance modifications
Aero and body kit coverage
Interior modifications
Higher limits than standard CPE riders
Agreed value alternative for heavy builds

Frequently Asked Questions

What is CPE coverage on an auto policy?

CPE (Custom Parts and Equipment) coverage is an endorsement that covers aftermarket parts installed on your vehicle. Standard CPE riders typically cap at $1,500–$5,000 — often far less than the value of a modified vehicle's aftermarket components.

My standard policy has a $5,000 CPE rider — is that enough?

For most modified cars, $5,000 is not enough. One wheel set at $3,000, one turbo kit at $4,000, and one exhaust at $1,500 already exceeds $5,000. If your total aftermarket investment is over $5,000, you need either higher CPE limits or an agreed value policy.

Should I use CPE coverage or agreed value for my modified car?

For vehicles with total modification values over $10,000, agreed value is almost always the better choice. It's simpler (one agreed value rather than per-item scheduling), more comprehensive, and removes the per-item dispute risk at claim time.

Does CPE coverage include custom paint?

Custom paint can be included in CPE coverage if specifically listed. On an agreed value policy, it's included in the total agreed value. Make sure paint is documented with photos and the painter's invoice regardless.

Are aftermarket safety items like a fire suppression system covered as CPE?

Permanently installed safety equipment — fire suppression, roll cages, racing harnesses — can be covered as CPE or as part of agreed value. Some carriers may treat safety equipment favorably in underwriting.