What Is a Car Insurance Endorsement?

Last Updated on January 21, 2026

A car insurance endorsement (sometimes called a rider) is a written change to your policy that can add, remove, or modify coverage. Endorsements matter because they can dramatically affect what’s covered (and what isn’t) after an accident.

Some endorsements are optional add-ons you choose (like roadside assistance or custom parts coverage). Others are restrictions insurers may require (like excluding a driver). Either way, an endorsement becomes part of your contract—so it’s worth understanding before you buy, renew, or file a claim.

Key Takeaways

• An insurance endorsement (rider) is a written change to your auto policy that can add, remove, or modify coverage—and it becomes part of your contract.
• Endorsements aren’t always “extras” that help; some endorsements restrict coverage (for example, by excluding certain situations or drivers).
• Common endorsements include custom parts coverage, OEM parts options, roadside assistance, rental coverage, rideshare/business-use coverage, and new-car protections like gap or new car replacement.
• Before adding an endorsement, request the actual endorsement wording, confirm how claims are paid, and get updated policy documents showing it’s active.

How Car Insurance Endorsements Work

An auto insurance endorsement is a document attached to your policy that changes your coverage terms. Endorsements can be issued when you purchase the policy, mid-term, or at renewal. Once added, the endorsement usually stays in force as long as your policy stays active (unless it has a specific expiration date).

Endorsements Can Expand or Reduce Coverage

Many people assume endorsements only add coverage, but they can also limit it. For example, an endorsement might:

• Add coverage for something your base policy doesn’t fully cover (like custom equipment or rideshare use).
• Increase a limit or adjust how a payout is calculated.
• Exclude coverage for certain situations, drivers, or types of losses.

Because endorsements can change coverage in either direction, always review what you’re adding (or agreeing to) and keep a copy of the endorsement paperwork with your policy documents.

Endorsements Usually Override the Base Policy Language

If there’s a conflict between your base policy and an endorsement, the endorsement typically controls for that specific situation. That’s why a “small add-on” can have a big real-world impact when you file a claim.

Common Car Insurance Endorsements and Add-Ons

Not every insurer offers every endorsement, and names vary by company. But these are some of the most common add-ons drivers see.

Custom Parts and Equipment Coverage

If your vehicle has modifications or aftermarket upgrades, your base policy may only cover factory equipment. A custom parts endorsement (sometimes called custom parts and equipment coverage) can help protect things like aftermarket wheels, a high-end stereo, lift kits, or other non-factory additions.

This matters because a standard car insurance policy often limits how much it will pay for non-OEM equipment unless you’ve added extra protection.

It can also be crucial for specialized mobility equipment. For example, someone living with a disability may need a modified vehicle setup, including accessibility equipment like a wheelchair lift. If that’s your situation, look into coverage options designed for wheelchair accessible vehicles—and don’t assume it’s automatically included just because you have full coverage. (Also see whether car insurance is cheaper if you are disabled for pricing context.)

OEM Parts Endorsement

Some drivers want repairs done using original equipment manufacturer (OEM) parts instead of aftermarket parts. Depending on your insurer, you may be able to add an endorsement that affects parts selection during repairs. Here’s how that question usually works: will my insurance company pay for OEM parts after an accident?

Roadside Assistance

Roadside assistance is a popular endorsement that can cover services like towing, jumpstarts, flat tire changes, fuel delivery, and lockout assistance. It’s usually inexpensive and convenient, especially if you don’t already have a separate plan. Learn what’s typically included here: all about emergency roadside assistance coverage.

If you already have a membership plan, it may be redundant—compare options first (for example, what’s better: AAA or Good Sam?).

Rental Car Coverage

Rental coverage (sometimes called “transportation expense” coverage) can help pay for a rental car while your vehicle is being repaired after a covered claim. Some policies include it automatically, but many require it as an add-on. This is one of those endorsements you’ll only appreciate after you need it.

Pet Injury Coverage

Some insurers offer optional coverage for veterinary bills if your pet is injured in a covered accident. Rules vary widely, so it’s worth confirming details before assuming you’re protected. Start here: will my auto insurance policy cover my pet?

Classic or Collector Vehicle Endorsements

Classic cars don’t always fit normal “actual cash value” claim math. Some insurers offer endorsements (or specialty policies) that better match a collector vehicle’s value. If you’re insuring a classic or collector vehicle, review options here: how to insure a classic or collector vehicle.

Rideshare and Delivery Endorsements

If you drive for Uber, Lyft, or delivery apps, your personal policy may not cover you during certain “app on” periods without a rideshare endorsement. If you’re driving gig work, get familiar with coverage gaps and insurer options here: best auto insurance companies for Uber and Lyft drivers.

Business Use Endorsements

Using a personal vehicle for work can be tricky. Some business driving is covered, some isn’t, and some requires an endorsement or a commercial policy. If you drive regularly for your job (beyond commuting), you may need small business auto insurance or a business-use endorsement depending on what you do and how often you drive.

New Car Replacement and Gap Coverage

Newer vehicles depreciate quickly, and many total-loss settlements are based on market value (not what you paid). If your car is new, these endorsements can be especially valuable:

• New car replacement: Can help you replace a new vehicle with a new one (not just an ACV payout) if it’s totaled early in ownership. Learn more: new car replacement insurance.
• Gap coverage: Can help cover the gap between what your vehicle is worth and what you owe if it’s totaled.

If you’ve never dealt with a total-loss claim before, this is helpful background: what happens if your car is a total loss?

Agreed Value and Stated Value Options

If your vehicle has a unique valuation (classic, collector, or heavily modified), you may want to explore agreed value vs. stated value approaches so you understand how a payout would be determined after a covered total loss.

When an Endorsement Might Not Be Enough

Sometimes the right solution isn’t an endorsement—it’s a different policy. For example:

• No car but need coverage: If you don’t own a car but still drive occasionally, you may need a non-owner car insurance policy (not an endorsement on someone else’s policy).
• Different vehicle type: Scooters and ATVs often require their own coverage. Start here: scooter insurance and do you need ATV insurance?

How Much Does a Car Insurance Endorsement Cost?

Endorsement pricing depends on what you’re adding (or restricting), your vehicle, and your state. Many common add-ons can be relatively low-cost, but some can meaningfully increase your premium—especially endorsements tied to higher payouts (like new car replacement) or higher-risk usage (like rideshare).

The best way to price an endorsement is simple: ask your insurer for the quote with and without the endorsement, and compare the difference. Also confirm whether it changes your deductible, limits, or claims process.

How to Add an Endorsement to Your Auto Insurance Policy

Most endorsements can be added by contacting your insurer or agent. In many cases, changes can be effective immediately—just make sure you receive updated documents.

What to Ask Before You Add One

• What exactly does the endorsement change? Ask for the endorsement form name/number and a copy of the wording.
• Does it add coverage or restrict it? Don’t assume it’s an “upgrade.”
• How are claims paid? Especially for custom parts, OEM parts, rental, and total-loss related endorsements.
• What’s the added premium? Get the exact dollar impact and confirm whether it applies now or at renewal.
• Does it apply to every driver and every vehicle on the policy? Some endorsements are vehicle-specific.

Note: Endorsement names and availability vary by carrier. Two insurers may offer similar protections but call them completely different things—so always read the actual endorsement language, not just the label.

For a straightforward definition of endorsements (and why keeping the paperwork matters), the NAIC has a helpful overview here: https://content.naic.org/article/consumer-insight-what-insurance-endorsement-or-rider.

FAQs on Car Insurance Endorsements

Final Word on Car Insurance Endorsements

Car insurance endorsements are how you customize a policy to match your real life—whether that means protecting custom equipment, adding coverage for rideshare driving, or improving what happens after a total loss. The key is to treat endorsements as contract changes: ask questions, get the paperwork, and confirm your declarations page reflects what you requested.