Is Third-Party Car Insurance Adequate For Your Vehicle?

The primary purpose of purchasing a car insurance policy is receiving financial coverage in case of any damages caused either to a third-party or your vehicle. As per the Motor Vehicles Act, 1988, it is mandatory to purchase a third-party insurance policy as it not only provides coverage for third-party damages but also provides legal protection; death of a third-party is also covered under this plan.

However, maybe a third-party plan won’t be adequate as it does not cover own damage. To protect your vehicle, you will have to purchase a comprehensive cover. Here are a few reasons why:

  1. Not sufficient in all scenarios

A third-party car insurance policy provides coverage only for third-party liabilities, which includes injuries to a person or damages caused to their property. However, when an accident takes place, both the parties involved suffer from damages. However, with a third-party liability cover, you do not receive coverage for own damage. In such cases, you would need a comprehensive car insurance policy.

 

  1. No add-ons

When you have comprehensive car insurance coverage, you get the option of choosing from multiple add-on covers that help enhance your existing coverage. All you need to do is pay a little extra premium. For e.g., if you are someone who has the habit of losing or misplacing their car keys, you can opt for the Lock & Key Replacement Cover. With the third-party liability plan, you do not have the liberty to purchase these add-ons and enhance your coverage in any way.

  1. Zero protection for damages caused due to calamities

In flood-prone areas, there are high chances of your car getting damaged. As a result, the car’s engine might also stop working. Unfortunately, the cost to repair these damages would be too high. If we leave the natural calamities aside, there are also man-made calamities such as terrorist attacks, vandalism, riots, strikes, etc. A third party car insurance cover will not offer any protection against the damages caused due to these events whereas a comprehensive policy would.

From what you’ve read so far, it is clear that a third-party plan might not provide the coverage you require. People who are looking to insure their cars completely are advised to opt for a comprehensive policy.

With this particular policy, you can even opt for additional covers (add-ons) and enhance your existing cover. The add-on covers available are Lock and Key Replacement Cover, Engine Protector, Consumables Expense, Accident Shield, and 24x7 Roadside Assistance. Choose the ones that best suit your needs. But remember that these extra covers add up to your premium.

To check how much an add-on cover affects your insurance premium cost, you can calculate the premium using an online car insurance calculator and add or subtract the covers accordingly.

Purchase car insurance policy online

Instead of purchasing a car insurance policy offline and going through the long, tedious process of filling multiple forms, you can buy the policy online from the comfort of your home. You need not go to the branch office to carry out this process as you can do it simply by visiting your preferred insurer’s website.

In case of queries, you can also contact the company’s executives and clear your doubts.

Final word

A third-party car insurance policy might not be adequate for those who travel often or go on long drives, etc. These people should opt for a comprehensive cover to be completely protected from any incidents. However, some people keep their cars in the garage and only drive when needed. For such people, a third-party liability cover would be sufficient because the prices are fixed and affordable as compared to the comprehensive cover.

You just need to analyze your requirements first and then make an informed decision regarding your car insurance cover. Good luck!

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