As per the Motor Vehicles Act of India, it is mandatory to own a third-party insurance plan to drive your car on the Indian roads. But, what is third-party car insurance?
Also known as third-party liability insurance, it covers you against any liability that may happen in case of any loss or damage caused to any third-party vehicle, person, or property. It doesn’t cover your own vehicle damages. There are three parties involved in this insurance plan: First, Second, and Third parties.
- The first party is the policyholder and is liable to compensate the third party for any injuries or damages to their property by them.
- The second party is the insurance company of the policyholder. It compensates the third party as per the terms and conditions of the insurance policy.
- The third party is the person who has sustained loss/damage/injuries by the first party’s vehicle.
Following are some of the top features of third-party car insurance:
- Low Premium
- Personal Accident Cover
- Liability Cover
- Easy purchase process
Under this insurance plan, personal damage to a third party, damage to a third party’s vehicle/property, and personal accident cover for the owner/driver is covered. Drunk driving or driving without a license, own damages, driving with an expired insurance policy are not covered under the insurance plan.
Moreover, it is an effortless and straightforward process to buy a third-party insurance plan. After a thorough online analysis and comparison of insurance plans available, simply go to the website of your chosen policy and enter your basic car details such as car model, PIN code, registration year, previous policy details, etc.
A third-party insurance policy is more than just a mandatory policy to be purchased. It helps protect your pocket from any unforeseen losses and damages. Cholamandalam MS understands the need to protect oneself and others from unexpected circumstances and offers its third-party car insurance to provide financial protection as well as help you invest in your peace of mind.