What is OEM – Original Equipment Manufacturer Parts?
OEM, or Original Equipment Manufacturer Parts, are parts made by the same company that produced the original parts used in a piece of equipment or vehicle. These parts are designed to be an exact replacement for the original components, ensuring compatibility and quality. OEM parts are often preferred for repairs and replacements because they meet the same specifications and standards as the parts that came with the product when it was new.
In the context of insurance, especially auto and property insurance, OEM parts can be important in repairs after damage. For example, when filing an auto insurance claim after an accident, policyholders may prefer OEM parts to ensure their vehicle is restored to its original condition. However, some insurance policies may only cover aftermarket parts manufactured by third-party companies and might differ in quality or fit.
Choosing OEM parts can impact a vehicle or equipment’s overall value and performance. Homeowners and business owners may also encounter OEM parts in property insurance claims involving specialized equipment, where using original parts can influence the longevity and reliability of repairs.