Each day, our morning tea is accompanied by news of road accidents. These events are unfortunate and cannot be predicted by anyone. But these incidents do not stop us from making a move for our daily commute.
So what should you do if road accidents can occur? Is there a way you can safeguard yourself and others?
Yes, get a motor insurance policy!
While there are two types of car insurance policy that you can buy, third-party car insurance is the standard requirement as per regulations.
What is third party car insurance?
An insurance policy that protects the policyholder from financial liabilities of third person is a third-party cover. This policy ensures that you remain protected from any legal obligations that may arise in case of injury, death, or property damage.
Is it mandatory to have a third party car insurance?
Yes, a third-party cover is mandatory for every vehicle in India. It is among the minimum requirements that need to be complied for a person to legally drive a vehicle along with pollution certificate and registration documents. Non-compliance of these regulations is a legal offence and may attract a hefty penalty.
What are the benefits of third party insurance cover?
Most people assume insurance to be a mandatory requirement, but it has some advantages that must not be overlooked under the pretext of compliance. Here are a few benefits of buying third party cover.
- Monetary and Legal Assistance
Any legal issues that you might face with regards to road accidents are covered under your third party cover. Your insurer will ensure you will not be subjected to any tribunals in case you hold a valid insurance certificate. Moreover, any costs that are associated with the recovery of losses are compensated by a third-party insurance cover.
- Economical Premiums
In case you think that the premiums are costly, you’re mistaken. Third-party insurance premiums are regulated by the Insurance Regulatory and Development Authority of India (IRDAI). Premiums vary for each class of vehicles and are annually published by IRDAI. These premiums are kept low so as to be affordable for all. Further, the scope of these policies insures the life of third person without any limits.
- Easy Application Process
Buying a third party cover is easy; all you have to do is visit the website of the insurance company and select the desired insurance policy. The easy application process of availing insurance at the convenience of your home eases the car insurance renewal process.
Let us look at the inclusions under your third-party insurance policy.
Damage to property
An unfortunate accident which involves damage to the property of any third person is covered under a third-party insurance policy. Any expenses that may be required to be reimbursed to such third person will be borne by your insurer, and you can remain free from any financial hassles.
The third-party policy ensures any road mishap that leads to the death of a third person is included in your policy coverage. The compensation as determined by way of court tribunals is paid by the insurance company to the dependants of the deceased.
Some accidents end up leading the injured with a disability. Costs of medical treatments are reimbursed by the insurance company in case of partial disability. Whereas if there is a permanent disability, then the insurer provides a pre-assured sum to the third party.
A third-party cover provides reimbursement for any harm to the body irrespective of the intensity of the injury. While these events are uncalled and unfortunate, insurers understand the importance and provide the required cover to such third persons.
To conclude, third party car insurance is not only a compliance requirement but also offers plenty of benefits at low prices. It keeps financial worries at bay that might arise even while you motor responsibly.