diff --git a/OpenRA.Mods.Common/OpenRA.Mods.Common.csproj b/OpenRA.Mods.Common/OpenRA.Mods.Common.csproj
index e817174245..c9edc3b685 100644
--- a/OpenRA.Mods.Common/OpenRA.Mods.Common.csproj
+++ b/OpenRA.Mods.Common/OpenRA.Mods.Common.csproj
@@ -431,6 +431,7 @@
     <Compile Include="Traits\Render\WithChargeAnimation.cs" />
     <Compile Include="Traits\Render\WithChargeOverlay.cs" />
     <Compile Include="Traits\Render\WithCrateBody.cs" />
+    <Compile Include="Traits\Render\WithDamageOverlay.cs" />
     <Compile Include="Traits\Render\WithDeathAnimation.cs" />
     <Compile Include="Traits\Render\WithDecoration.cs" />
     <Compile Include="Traits\Render\WithDockingAnimation.cs" />
@@ -447,7 +448,6 @@
     <Compile Include="Traits\Render\WithResources.cs" />
     <Compile Include="Traits\Render\WithSpriteRotorOverlay.cs" />
     <Compile Include="Traits\Render\WithShadow.cs" />
-    <Compile Include="Traits\Render\WithSmoke.cs" />
     <Compile Include="Traits\Render\WithSpriteBody.cs" />
     <Compile Include="Traits\Render\WithSpriteTurret.cs" />
     <Compile Include="Traits\Render\WithFacingSpriteBody.cs" />
diff --git a/OpenRA.Mods.Common/Traits/Render/WithSmoke.cs b/OpenRA.Mods.Common/Traits/Render/WithDamageOverlay.cs
similarity index 73%
rename from OpenRA.Mods.Common/Traits/Render/WithSmoke.cs
rename to OpenRA.Mods.Common/Traits/Render/WithDamageOverlay.cs
index 3ad2cfd0a6..19f24b3c7f 100644
--- a/OpenRA.Mods.Common/Traits/Render/WithSmoke.cs
+++ b/OpenRA.Mods.Common/Traits/Render/WithDamageOverlay.cs
@@ -17,13 +17,13 @@ using OpenRA.Traits;
 namespace OpenRA.Mods.Common.Traits.Render
 {
 	[Desc("Renders an overlay when the actor is taking heavy damage.")]
-	public class WithSmokeInfo : ITraitInfo, Requires<RenderSpritesInfo> // TODO: rename to WithDamageOverlay
+	public class WithDamageOverlayInfo : ITraitInfo, Requires<RenderSpritesInfo>
 	{
-		public readonly string Sequence = "smoke_m"; // TODO: rename to image
+		public readonly string Image = "smoke_m";
 
-		[SequenceReference("Sequence")] public readonly string IdleSequence = "idle";
-		[SequenceReference("Sequence")] public readonly string LoopSequence = "loop";
-		[SequenceReference("Sequence")] public readonly string EndSequence = "end";
+		[SequenceReference("Image")] public readonly string IdleSequence = "idle";
+		[SequenceReference("Image")] public readonly string LoopSequence = "loop";
+		[SequenceReference("Image")] public readonly string EndSequence = "end";
 
 		[Desc("Damage types that this should be used for (defined on the warheads).",
 			"Leave empty to disable all filtering.")]
@@ -33,23 +33,23 @@ namespace OpenRA.Mods.Common.Traits.Render
 		public readonly DamageState MinimumDamageState = DamageState.Heavy;
 		public readonly DamageState MaximumDamageState = DamageState.Dead;
 
-		public object Create(ActorInitializer init) { return new WithSmoke(init.Self, this); }
+		public object Create(ActorInitializer init) { return new WithDamageOverlay(init.Self, this); }
 	}
 
-	public class WithSmoke : INotifyDamage
+	public class WithDamageOverlay : INotifyDamage
 	{
-		readonly WithSmokeInfo info;
+		readonly WithDamageOverlayInfo info;
 		readonly Animation anim;
 
 		bool isSmoking;
 
-		public WithSmoke(Actor self, WithSmokeInfo info)
+		public WithDamageOverlay(Actor self, WithDamageOverlayInfo info)
 		{
 			this.info = info;
 
 			var rs = self.Trait<RenderSprites>();
 
-			anim = new Animation(self.World, info.Sequence);
+			anim = new Animation(self.World, info.Image);
 			rs.Add(new AnimationWithOffset(anim, null, () => !isSmoking));
 		}
 
diff --git a/OpenRA.Mods.Common/UtilityCommands/UpgradeRules.cs b/OpenRA.Mods.Common/UtilityCommands/UpgradeRules.cs
index 4fa6ad33ba..2222cf84a7 100644
--- a/OpenRA.Mods.Common/UtilityCommands/UpgradeRules.cs
+++ b/OpenRA.Mods.Common/UtilityCommands/UpgradeRules.cs
@@ -788,6 +788,22 @@ namespace OpenRA.Mods.Common.UtilityCommands
 							n.Key = "DetonationDelay";
 				}
 
+				// WithSmoke was refactored to become more generic and Sequence/Image notation has been unified.
+				if (engineVersion < 20160528)
+				{
+					if (depth == 1 && node.Key.StartsWith("WithSmoke"))
+					{
+						var s = node.Value.Nodes.FirstOrDefault(n => n.Key == "Sequence");
+						if (s != null)
+							s.Key = "Image";
+
+						var parts = node.Key.Split('@');
+						node.Key = "WithDamageOverlay";
+						if (parts.Length > 1)
+							node.Key += "@" + parts[1];
+					}
+				}
+
 				UpgradeActorRules(engineVersion, ref node.Value.Nodes, node, depth + 1);
 			}
 		}
diff --git a/mods/cnc/rules/defaults.yaml b/mods/cnc/rules/defaults.yaml
index 458b62d1f9..572863ffd2 100644
--- a/mods/cnc/rules/defaults.yaml
+++ b/mods/cnc/rules/defaults.yaml
@@ -79,7 +79,7 @@
 	HiddenUnderFog:
 	AttackMove:
 	DrawLineToTarget:
-	WithSmoke:
+	WithDamageOverlay:
 	WithFacingSpriteBody:
 	Explodes:
 		Weapon: UnitExplodeSmall
@@ -446,7 +446,7 @@
 	ActorLostNotification:
 	AttackMove:
 	DrawLineToTarget:
-	WithSmoke:
+	WithDamageOverlay:
 	Explodes:
 		Weapon: UnitExplodeShip
 		EmptyWeapon: UnitExplodeShip
@@ -636,19 +636,19 @@
 		Type: Wood
 	Targetable:
 		TargetTypes: Trees
-	WithSmoke@SmallBurn:
+	WithDamageOverlay@SmallBurn:
 		DamageType: Incendiary
-		Sequence: burn-s
+		Image: burn-s
 		MinimumDamageState: Light
 		MaximumDamageState: Medium
-	WithSmoke@MediumBurn:
+	WithDamageOverlay@MediumBurn:
 		DamageType: Incendiary
-		Sequence: burn-m
+		Image: burn-m
 		MinimumDamageState: Medium
 		MaximumDamageState: Heavy
-	WithSmoke@LargeBurn:
+	WithDamageOverlay@LargeBurn:
 		DamageType: Incendiary
-		Sequence: burn-l
+		Image: burn-l
 		MinimumDamageState: Heavy
 		MaximumDamageState: Dead
 	AutoTargetIgnore:
diff --git a/mods/ra/rules/defaults.yaml b/mods/ra/rules/defaults.yaml
index 3fa6559fa0..74bc12c931 100644
--- a/mods/ra/rules/defaults.yaml
+++ b/mods/ra/rules/defaults.yaml
@@ -99,7 +99,7 @@
 	GivesBounty:
 	GpsDot:
 		String: Vehicle
-	WithSmoke:
+	WithDamageOverlay:
 	Guard:
 	Guardable:
 	Tooltip:
@@ -325,7 +325,7 @@
 	RepairableNear:
 	GpsDot:
 		String: Ship
-	WithSmoke:
+	WithDamageOverlay:
 	Explodes:
 		Weapon: UnitExplodeShip
 		EmptyWeapon: UnitExplodeShip