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Third Party Insurance

As you might expect, Third Party Insurance is the cheapest form of motor insurance because it offers the most basic form of cover. Indeed, if you take out cover of this type then you need to realise exactly what it entails.

Basically, third party insurance is really all about protecting others that you may come into contact with. So let’s say that you cause an accident, running into another car. Your insurance company would pay for any damage done to that other car. They would also provide suitable payments for medical cover for those involved in the accident.

But there’s one big exception here. The person who wouldn’t be covered is you. Your insurance company would not pay for any repairs that are required on your car, nor would they pay for any medical bills arising that relate to you personally. But any passengers in your vehicle would be covered.

You might be reading this and thinking that this doesn’t sound like a particularly detailed form of cover. You’d be right to think so. In many senses, this is the bare minimum that’s required by UK law.

So who would consider taking out this type of insurance? The answer would generally be those who would find other types of motor insurance to have prohibitive costs attached, or anyone who feels that their car is of such a low value that more extensive insurance cover is really unnecessary. It’s also worth noting that this type of insurance would not cover your vehicle in the event of a fire and theft.

This brings us neatly to the next form of cover.

Car Insurance

Want to know what factors are important when it comes to choosing car insurance? Our complete set of articles can point you in the right direction:

Car insurance explained
Third party insurance
Third party fire and theft
Fully comprehensive cover
Comparing car insurance deals
The cost of car insurance
Cost factors
Car insurance costs: your car
Driver history
Car insurance excess levels
Named drivers
Driving abroad