According to the Indian Motor Vehicles Act, every vehicle owner must have at least third party insurance to legally drive the vehicle in the country. This is a mandatory requirement that all vehicle owners in India must follow. Failure to do so may result in several legal actions and a fine of Rs 4,000. A fine of up to Rs.
But why has the Government of India made third party car insurance mandatory? How is it useful for car owners? It is important to understand this also.
What is third party car insurance?
As the name suggests, third party car insurance is a category of insurance that provides coverage for unexpected loss or damage caused by your vehicle to a third party or property. For example, if your car goes out of control And if it collides with another vehicle on the road, then the loss or damage caused to the other vehicle or person will be compensated by your insurance policy.
It is important to note that third party insurance does not provide coverage for personal loss or damage. This means that even if your car gets damaged in the above mentioned scenario, you will not get any compensation from your insurance provider. In this case, you will have to bear the repair expenses from your own pocket.
Why is third party car insurance mandatory?
Third party car insurance has been made mandatory for every vehicle owner as it helps in reducing unexpected losses and damages caused to any third party. Here are other reasons:
• Reducing the financial burden on third parties: Accidents can impose a significant financial burden on victims. Third party insurance ensures that the at-fault driver is compensated for the loss and damage caused by him. This reduces the financial burden on road accident victims.
• Ensure adequate coverage: A third party car insurance policy ensures that the at-fault driver does not get away with offering compensation. It provides adequate coverage to the policyholder to provide adequate compensation to the victims.
• Promotes responsible driving: Above all, third party car insurance encourages responsible driving by assuring drivers that they will have to face the legal consequences of negligent driving.
What is the third party insurance premium for car?
Third party insurance premium for car depends on various factors. This includes the make and model of your car, its current value, policy type, insurance provider, etc.
Your third party insurance premium is calculated based on these factors. If you want to know about the approximate cost of the insurance policy that you are planning to buy, you can use a reliable car insurance calculator. This is a useful tool that helps you calculate car insurance premium in a quick and easy way.
How to buy the best third party car insurance in India?
The easiest way to buy a four wheeler insurance is to buy a suitable plan online. It’s quick and simple, and you can look at multiple policies to find the right one.
However, there are several things that need to be kept in mind while buying third party car insurance online. Some of the important ones are listed below:
• Identify your needs: Before purchasing insurance for your car, take adequate time to assess your needs and requirements. Ask yourself whether third party insurance will be sufficient or not. If not, consider choosing a comprehensive car insurance policy. In addition to covering third party loss and damage, a comprehensive car policy will also cover damage caused to you and your vehicle. Many renowned insurance providers like Tata AIG offer excellent online third party and comprehensive car insurance.
• Compare different policies: Another important tip while buying car insurance is to compare multiple insurance policies and choose one that suits your specific needs and budget. This will help you save money by choosing the policy with the best coverage at the lowest rate. For this purpose, you can also refer to a third party insurance for car price list on a reliable comparison website.
• Work with reputable insurance providers: Apart from the above points, always buy third party car insurance online from trusted insurance companies to ensure the best coverage and smooth settlement of claims.
This is the time for third party insurance
Third party car insurance is mandatory for every car driver in India. However, this is much more than the legal requirement. Apart from helping you comply with legal regulations, a car insurance policy also helps you cover third party damages and be a responsible driver.
If you have not purchased a suitable insurance policy for your car, now is the time. All you need to do is follow the above tips and find a suitable insurance policy for you.