Third Party Car Insurance-A “Must Have” Safety Armor for Car Owners!


Generally speaking, Insurance is a concept that comes in handy to the Policy Holder, at critical moments to meet the expenses and damages financially. The third party car insurance goes one step ahead, in saving the Car Owner from the legal wrangles and liabilities arising out of an accident, and bears the cost involved.

If you have a third party car insurance online, you can come out scot-free from accidental liability; legal liability; property damage or financial losses, hospitalisation and medical expenses and payment of compensation, in the unfortunate event of death or total disablement of a third party. Third Party means a person inside the Car or outside the Car, at the time of occurrences.

Definition of third-party car insurance:

When you buy a Car, it needs two legal documents. One  – a Driving License for the driver of the Car; and two – an Insurance Policy that covers possible risks and untoward incidents that may happen, while the Car is driven on the road. You have the option to buy a Comprehensive Car Insurance Policy, which covers everything under the name Risks – including losses and damages caused to any third party by the Car.

At the same time, you also have the option to buy a stand-alone third-party car insurance only, (when you feel your Car is an old one and served its life already). Section 146 of Motor Vehicles Act 1988 stipulates that third party car insurance is mandatory – either as a Clause in a comprehensive Policy, or a stand-alone Policy. It is a punishable offense to ride a Car without this Policy.

How the third party car insurance protects?

When a Car is driven on the road, there are many possibilities and risks that may be encountered unexpectedly. Accidents may happen any time, by the Car collide with another vehicle; losing control and hitting any other vehicle or property, or causes such other damages.

Arising out of the above accident, the repercussions may be severe at times – causing the death of another person, or bodily injuries, crippling the person with partial or total disability etc. In those circumstances, the affected person or his heirs will file a suit in the appropriate Court of Law, claiming compensation.

At such critical moments, the third party car insurance Policy issued by the Insurance Company comes to the rescue of the Policy Holder. The Insurance Company absolves the Car Owner from attending Court, conducts the legal proceedings by a Lawyer appointed by it, and argues in favor of the Policy Holder.

If the Court rules that damages or compensation must be paid, the Insurance Company pays the money and resolves the total headache of the Car owner.

Benefits of possessing third party car insurance Policy:

  • Complete mental peace – since you are protected from the legal liabilities involved in an accident by your Car, over and above the mental agony of the losses incurred
  • Saving the financial burden arising out of the accidents, by way of medical expenses, compensation payable for disablement or death of third parties
  • Cost-effectiveness – compared to Comprehensive Car Insurance Policies, third party car insurance Policies cost very less by way of Premium. According to the quote of a popular Insurance
    Company – when a Comprehensive Policy Premium is priced at Rs.10,000 to Rs.12,000/- the cost of third party car insurance Policy taken separately is Rs.1000/- only.
  • Add-ons advantage – you can take additional coverage clubbed with the Third-Party Insurance Policy, like Collision Cover; Damage to own Property; Personal Accident Insurance for self and other occupants of the Car etc.
  • Easy buying options offered online.

What to look for when buying a perfect third-party car insurance Policy?

  • You have the excellent chance of going online and comparing multiple Policies for separate third party car insurance. There are software tools to compare various aspects and calculations of Premiums etc. Use them to your best advantage.
  • You must check the exact points covered by stand-alone Policy, and satisfy yourself whether they meet your requirements fully.
  • Multiple Insurance Companies quote Premiums differently, based on the coverage offered. Your aim must be to get the maximum benefits by paying the lowest Premium available.
  • Check the exclusions mentioned carefully. Oftentimes you will get disappointed if your assumptions about coverage of loss or damage caused to third parties are not included in those Policy Conditions.
  • Check for additional coverage offered. Here lies the chance for adding additional coverage at a negligible cost.

If you don’t want to undergo all the above muddling and confusions, it is always better to seek expert’s help. Just click Coverfox Portal you can easily get a perfect Policy!