The energy balance assessment is an effective method for characterizing IC engines performance and efficiency. In this study, the impact on the energy balance system of diesel engines of the insulated heat transfer surfaces was examined. Four pistons are used in the current study, for all of the pistons using Ni-Cr-Al-Y as a bond coat of 50 μm thick. For LHR-1 Engine, the piston is insulated with (7% YSZ), LHR-2 Engine is (2%Nd + YSZ), LHR-3 Engine is (2%Gd + YSZ), and the LHR-4 Engine (2%Nd + 2%Gd + YSZ) as a top coat of 250 μm thick. The analysis of work is discussed in a four-stroke single- cylinder diesel engine. The outcomes obtained from this show that the CO and HC emission of a coated engine is reduced by 16.1% and 22.5% and the NOx emission is getting increased by 17.7% with a coated piston compared to the standard piston. The findings show a reduction of heat losses for the ceramic- coated engine cooling system. © 2020 Elsevier Ltd. All rights reserved.