okay i take back my previous statements. thats a weird setup. is that all custom or was it some sorta kit to it? that would heat up the air coming into the engine a tad.
i would definetly get some thermal heat wrap for the "hot" pipes to keep it insulated there and not heat the whole engine bay and protect things. the auction turbo wrap doesnt seem as bad now, as that is a weird way to have a turbo setup. if i were you, i would experiment. get an air thermometer so to speak and measure the heat at the filter now then record it. get some insulate pipe wrap and measure it again a little later (once its cool back to a stable temp. so that the tests are constant). that will cut down some, and then if you feel like its too hot still in your opinion, its only 60 bucks. just make sure your tests are constant.
any normal turbo setup, i dont think id recommend doing it, but with yours, i just might. another option you have with that setup, is an "open" grille. that will get a considerable amount of air into the engine bay and cool it down. you might have to get a filter protector to keep it from the elements, but it could be worth it in the end to get that turbo heat kept down.
ps( sorry for the rambling im off to class)
scotty