A thermal-hydraulic code, named CUPID, has been being developed for the realistic analysis of transient two-phase flows in nuclear reactor components. The CUPID code development was motivated from very practical needs, including the analyses of a downcomer boiling, a two-phase flow mixing in a pool, and a two-phase flow in a direct vessel injection system. The CUPID code adopts a two-fluid, three-field model for two-phase flows, and the governing equations are solved over unstructured grids with a semi-implicit two-step method. This paper presents an overview of the CUPID code development and assessment strategy. It also presents the code couplings with a system code, MARS, and, a three-dimensional reactor kinetics code, MASTER.