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Insurance for Modified Exhausts: Legal vs. Illegal Upgrades
Tips & Tricks | 10 Apr 2026

Legal vs. Illegal Upgrades

Malaysian car culture is vibrant, but a modified exhaust can turn your pride and joy into a legal liability. In 2026, JPJ increased enforcement under Section 64 of the Road Transport Act, which allows for the seizure of vehicles with illegal modifications. For an insurance claim to be valid, your car must remain "road-legal."

Dynamic Car Show Featuring Modified Vehicles

The VTA (Vehicle Type Approval) Standard

Every car sold in Malaysia has a VTA. Any change to the exhaust system that alters the backpressure, noise (usually capped at 85-90 dB), or emissions violates this approval. If your modification isn't JPJ-approved, your insurer can legally argue that the vehicle was "not in a roadworthy condition" at the time of an accident.

Declare, Don't Hide

Even a legal, mild upgrade must be declared. If you spend RM5,000 on a high-end exhaust and don't list it as an "Accessory" in your insurance policy, the insurer will only pay for a standard stock exhaust if it’s damaged.

PolicyStreet: The Enthusiast’s Reliable Partner

  • Expert Policy Review: Our team helps you understand which mods need to be declared so you’re never caught off guard.

  • Drive+ Rewards: Members get a RM40 Bateriku voucher to ensure their high-performance car always has a healthy battery.

  • Save on Road Tax: Use your Drive+ Lite/Standard/Premium discount to keep your legal costs low. 

Renew your modified (or stock) ride here.

Frequently Asked Questions:

  1. Will a modified exhaust void my insurance? 

It can if it’s illegal or undeclared. Always inform your insurer about any changes to the car's factory specifications.

  1. What modifications are legal in Malaysia? 

Generally, minor aesthetic changes (spoilers, side skirts) are okay. Any change to the engine, exhaust, or structural integrity usually requires JPJ approval.

  1. Does a louder exhaust increase my premium? 

Not necessarily, but it may change the terms of your coverage. Some insurers may refuse to cover specialized aftermarket parts unless specifically added to the policy.

  1. Can JPJ seize my car for a modified exhaust? 

Under Section 64 of the Road Transport Act 1987, JPJ can seize a vehicle to prevent continued use of an illegal modification until it is rectified.

The benefit(s) payable under eligible certificate/policy/product is(are) protected by PIDM up to limits. Please refer to PIDM’s TIPS Brochure or contact Allianz General Insurance Company (Malaysia) Berhad or PIDM (visit www.pidm.gov.my).
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Quotation and Policy issued by PolicyStreet Malaysia, a brand under Polisea Sdn. Bhd. (Reg No. 201601041144 (1212085-T)) a Financial Adviser approved by Bank Negara Malaysia.