Yeah, you don't want to skimp of the filter at all, K&N's are great filters.
I had an AEM CAI on my car for 3 years with no bypass valve, and no hydrolocking. So from my experience, the risk of hydrolocking a G3 Integra with a CAI is exaggerated. Just be sure you have all your undercar splashguards and that their properly attached, no missing screws or clips. Water would still splash on my filter, but never enough to get through it and sucked all the way up to the TB. I hit a few big puddles that scared the hell out of me too, but everything was fine. :what:
