Third-party insurance is car insurance coverage which insures you against all the 3rd party legal liabilities which may arise due to any mishap such as a road accident involving your car. It provides coverage for bodily injury/death of a third party (as decided by a court of law) as well as third-party property damage up to Rs. 7.5 lakh.
If a policyholder holding third party car insurance gets involved in an accident, then the insurance company is liable to provide him with financial assistance for his liabilities towards a third party for their injuries, death and property damage. This insurance cover lessens the financial burden of the policyholder for any damage sustained by a third party with the insured car.
In case of an accident, the insured person should intimate the insurer immediately about the mishap before raising a claim. After the claim is raised, the insurance company appoints a surveyor to examine the extent of damages and verify the estimated repair cost. After the verification process, the insurance company pays off the amount of the claim.
Why do you need third party insurance for a car? As per the Motors Tariff Act 2002, it is mandatory for every vehicle owner in India to have at least a 3rd party car insurance. A third party car insurance policy provides the most basic coverage and is more affordable as compared to a comprehensive plan. Thus, besides being a mandatory requirement it is also essential to have your vehicle/car insured by at least a 3rd party only cover so that you have a minimum of basic insurance coverage for your car.
Although the third party car insurance cover holds a limited coverage, still it is crucial cover for the below mentioned coverage:
A third-party car insurance policy does not provide coverage for own-damage sustained by a vehicle or its driver/owner. To get insurance for the own-damage of your car, you can purchase a comprehensive car insurance policy or a standalone own-damage car insurance policy. Also, to insure yourself or the driver of your car you need to opt for a personal accident cover or paid driver cover, as the case may be.
The following are the features of a third party insurance policy:
|Feature||Availability with Third Party Cover|
|Property Damage||Available with a limit of Rs. 7.5 Lakh|
|Personal Accident Cover||Available|
|Purchasing Options||Online and Offline|
|Own Damage Costs||Not Covered|
Here are some difference between third party car insurance policy and comprehensive car insurance policy:
|Basis||Third-Party Car Insurance||Comprehensive Car Insurance|
The 3rd party insurance offers compensation for injury/death of a third party( as decided by a court of law) and third party property damage (up to Rs 7.5 lakh).
Comprehensive car insurance policies offer compensation for damage caused to the insured vehicle as well as the injury/death of a third party. It also offers coverage up to a maximum cap of Rs 7.5 lakh in case of third party property damage.
|Add-ons||No such add-on covers are available for purchase with the third-party policies.||A number of add-on covers such as Zero Depreciation Cover, Consumables Cover, etc. are offered along with comprehensive car insurance policies against an extra premium.|
|Cost||Third party insurance is compared to cheaper to comprehensive policies due to its limited coverage.||Comprehensive plans are comparatively costlier due to extensive coverage.|
The following are the benefits of purchasing third party four wheeler insurance:
The following steps will guide you to purchase third party car insurance online:
Step 1: Visit our Website InsuranceBox.
Step 2: In the ‘Get Your Quote' section provide your car registration number. In case you do not have it you can also provide your car's model, make and car's registration year.
Step 3: Enter your personal details such as name and mobile number. All the quotes in your category will be visible on your screen.
Step 4: Select the policy that suits your needs and price point.
Step 5: Make the payment for the selected policy and the policy document will be sent to your email ID.
To get compensation for the mishap from the insurance provider the policyholder must follow the following steps:
Here are a few things which you should consider while making a third party claim:
1. The FIR should be lodged in the case of an accident, after which the insurance company should also be intimated about the event.Without these actions, the claim process may not release the required compensation.
2. The third-party should present the relevant evidence in order to prove the mistake of the other party.
3. It is always recommended to settle the minor damage and loss cases out of court since the procedure of registering an FIR as well as the court proceedings are time-consuming.
4. No limit is set on coverage of personal damages sustained by the third-party, while for the property damage, the maximum liability is limited up to Rs 7.5 lakhs.
A third party car insurance safeguards the policyholder against any damages or loss caused to the third party individual or third party property due to the insured car. As per the Indian Motor Tariff Act, it is mandatory for the car owners to at least get their car insured under a third party insurance plan.
All the car owners must get insured under third party insurance to get protection against third party property damage, third party loss of life, permanent and partial disability and bodily injuries.
Yes, as per Indian Motor Tariff Act, it is mandatory for all the car owners to at least get insured under a third party insurance plan in order to drive their vehicle on the public roads in India.
To opt for a third party insurance for your old car, simply visit the InsuranceBoxwebsite and choose the ‘car' tab. Fill in all the required information like registration number of the car, model, variant, make and click on ‘submit' thereafter. Select the insurance plan offered by different insurance companies. Then, after making the payment you will get your policy document at your registered email-ID.
No, you cannot purchase a zero depreciation add-on cover along with your third party car insurance plan. The add-on covers offered by various insurance companies can be purchased only with a comprehensive insurance plan or standalone own damage car insurance plan.
Yes, third party insurance is a mandatory insurance plan for cars.
A third party car insurance offers coverage only against the third party liabilities be it property or person due to any mishap with the insured car. On the other hand, a comprehensive car insurance plan offers complete protection against both third party liability as well as own damage.