Glossary

OEM parts

Replacement parts made by or for the vehicle's own automaker, as opposed to aftermarket parts from other makers or recycled parts.

Also called: original equipment manufacturer parts, factory parts, genuine parts

OEM stands for original equipment manufacturer. OEM parts are made by the carmaker or its supplier to the same specifications as the parts the car was built with, and they usually carry the automaker's brand. The alternatives are aftermarket parts made by other companies, some of them certified by independent groups, and recycled parts taken from other vehicles.

Many auto policies let the insurer write repair estimates using non-OEM parts of "like kind and quality," especially on older cars. Say a bumper cover costs $600 from the automaker and $280 from an aftermarket supplier. The estimate may use the $280 part, and if you insist on OEM, you could pay the $320 difference (hypothetical figures). Some states require insurers to disclose non-OEM parts on the estimate or get consent. Rhode Island, for example, requires written consent before aftermarket parts are used on cars less than 48 months old.

If factory parts matter to you, ask about an OEM parts endorsement, which some insurers sell for newer cars. Fit can matter more on cars with driver-assistance cameras and radar behind bumpers and windshields, where parts affect sensor calibration. See Aftermarket vs OEM parts in insurance repairs and OEM parts endorsements: guaranteeing factory parts.

Last reviewed October 4, 2026

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Related terms

Aftermarket parts Replacement parts made by companies other than the carmaker, usually cheaper than original-equipment parts and often specified in insurer repair estimates. Betterment A deduction an insurer takes when a repair replaces a worn part with a new one, leaving the car in better condition than before the loss. Direct repair program An arrangement between an insurer and approved body shops that accept its pricing and procedures in exchange for referred repair work. Endorsement A written amendment to an insurance policy that adds, removes or changes coverage, such as rideshare use, rental coverage or OEM parts. ADAS calibration Re-aiming a car's safety cameras and radar after a repair or windshield replacement so features like emergency braking work correctly.

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