Are parts just parts? Choosing OEM or aftermarket car parts

The cost of original equipment manufacturer (OEM) auto parts has been going up. Increasingly, car insurance companies are specifying aftermarket (akak generic) or recycled parts in car-repair estimates. Non-OEM parts keep cost down, but does their use compromise your vehicle?

Let’s say your pride and joy &mdas; we’re referring to your car, of course — was damaged in an accident. You now need a new fender, hood and grill for your car. Your car insurance company estimated the cost of your repairs using an OEM hood but an aftermarket fender and a “recycled” (i.e. used) grill. Can they do that? Don’t they have to use new parts? Unless new parts are specified in your policy (and you’re paying a higher car insurance premium for that guarantee), it’s likely that they don’t.

According to a report by Mitchell International, a company that tracks collision-repair trends, use of aftermarket and recycled parts is on the rise, driven by price increases for OEM parts. Greg Horn, a spokesman for Mitchell International, said that the increased use of “more economically viable used or aftermarket parts” has led to an industry-wide decrease in the amount of money spent on parts. Overall cost, or severity, of repair estimates is down — which means that rising prices for OEM parts won’t necessarily pump up your future auto insurance premiums.

Of course, if you are concerned about the quality of aftermarket or recycled parts, you can demand OEM parts in your car repair, but if your auto insurer decides to pay for aftermarket parts only, you’ll have to pay the price difference.