What is Third Party Insurance
Third-Party Insurance is a policy bought for vehicle protection against the claims of another, where any damage or loss occurred due to a third party like a driver or someone else will cover under the Insurance.
Having Insurance cover to a vehicle (Bike, Car, and other) is compulsory. According to regulations of Vehicle Motor act of India, there are different types of insurance policies. These are available for the protection of vehicles and Insurance prefer, as it is affordable with a range of premium under budget.
Benefits of Third Party Insurance
- It is must to know that Third Party Insurance is different from comprehensive Insurance for Vehicle, if thus having this insurance will protect the owner from any legal liabilities which include bodily injury, death or damage to third parties.
- Damage to property, vehicle considered as third party and any financial liabilities due to damage taken from the insured policy.
- If your car value is low or with a term of 5 years. It advised to get 3rd rather than going for comprehensive insurance.
- Protects you with less premium and having less value car won’t disturb you much in case of an accident.
- It protects during the time of accident by fully assuring to provide liabilities laid on you under the insurance policy. This help you to have financial stability.
Exclusions of Third Party Insurance
Any damage to your vehicle or belonging covered under insurance including damage or stolen vehicle, and this policy does protect you from liability from anyone but any damage to your side should under your risk.
Having this Insurance for a new car or branded one. It is not prefer, as it won’t cover any damage to your vehicle or its costly accessories.
- Which is the best policy to get Third Insurance or comprehensive Insurance?
Third Insurance and comprehensive policy does have their own importance based on age and cost of car, and If your vehicle is a low-cost model with more than 5 years then the policy is preferred to have opted and it is preferred to get comprehensive for a new model vehicle.
- Does having Third Party Insurance Policy Enough?
Yes, as per the Motor Vehicle Act every vehicle must have an insurance policy which is mandatory for protection of both the parties, and thus the premium is less and covering the third damage does cover the regulation of Motor vehicle Act.
- Does Comprehensive Insurance include Third Party Insurance Policy Terms?
Yes, Comprehensive Insurance policy does cover damage or loss due to accidents for both the parties and the compensation to third party damage including any damage to Vehicle and its accessories will be covered under comprehensive, where the terms of 3rd Party Insurance are fully included in Comprehensive policy with having a higher premium value for added benefits.