unless your wrapping Oprah Winfrey. Then go with 3".
1/2" here too. We always try to panel to end up as seamless as possible. Occasionally you're going to have to have a seam, but the less the better. No one wants a seam in the middle of their door or 2" away from a body gap. It ends up costing a little more, but in the scheme of things, it doesn't really matter.
1/2" is all I use too.2" overlap looks disgusting. If you have to use seams, we use 1/2 inch.
+1
Always try to layout panels that require the fewest seams, makes a more professional looking install, anyone can let software divide equal panels, but a true craftsman figures out the best overall panel layout to match the body seams of the specific vehicle.