Comprehensive, third party, third party fire and theft… Choosing a car insurance policy can be overwhelming. There are several types to choose from and it’s so important you choose the right one to keep you secure in case of an emergency.
Are you considering third-party cover? Before you hit the road, it’s best to look at the benefits and find out exactly what is covered by third-party insurance.
Third-party car insurance is the minimum cover you need to drive a car in the UK, and there are a couple of types to choose from. Third-party insurance covers you if you damage somebody else’s car or property, or injure somebody while you’re driving, but won’t cover any damages to the vehicle you’re driving.
What does third-party insurance cover?
Because third-party car insurance is the minimum legal level of cover, it shouldn’t be surprising that it covers only the minimum costs in case of an accident. Third-party insurance covers you for:
- Injury to a driver or passenger in another car (third-party injury)
- Damage to another person’s car
- Damage to another person’s property
If you’re involved in an accident that’s not your fault, the other person’s insurer will pay any compensation you’re owed directly to you. This might include compensation for vehicle damage or personal injury claims.
What’s not covered by third party insurance?
If you choose third-party insurance and you get into an accident, any costs or damage to the car you’re driving will not be covered. Because of this, third party cover is more suitable for customers who are looking for minimal cover only.
If you’re in an accident that’s not your fault, you can claim compensation from the other person’s insurance provider. This can be for vehicle damages or personal injury. Because you won’t be able to claim for repairs from your own insurance provider, your no-claims bonus won’t be affected.
This level of cover exists to protect other drivers. If you’re responsible for an accident and your insurance policy is third-party only, there is no protection offered to you or your vehicle..
Does third-party insurance cover personal injury?
No. Third-party car insurance is all about protecting other drivers, their passengers and their property. This is why it’s called ‘third-party’ insurance. If you get into an accident that’s your fault, your insurance company will pay out compensation to the other party involved, including personal injury claims.
If you have third-party insurance and you’re involved in an accident that’s not your fault, your personal injury claims can be resolved by the other party’s insurance provider. Your insurer won’t help you make a claim, though, so you might need to look for help from another claims company.
Can I drive other cars with third-party insurance?
No. Having a third-party policy doesn’t mean you’re insured to drive any other cars. To find out whether or not you’ll be covered for driving other cars, you should contact your annual insurance provider or look closely at your policy documents.
Look out for a ‘driving other cars’ or ‘driving other vehicles’ clause in the terms and conditions of your insurance policy. These clauses are no way near as common as they used to be and are only occasionally included in comprehensive policies. Find out more in our ‘Can I drive someone else’s car on my insurance?’ blog post.
If you’ve chosen a third-party insurance policy, you can arrange temporary car insurance to be covered on another car.
Comprehensive vs third party – what’s the difference?
Some people may get confused by the differences between comprehensive insurance, third party and third party fire and theft.
- Comprehensive car insurance is the highest level of cover available.
Fully comprehensive policies not only cover the cost of damage to third parties but also damage to your vehicle and personal injury, even if the accident was your fault.
This type of car insurance is the most common because of its security. Having comprehensive car insurance means you won’t need to face any expensive costs if it comes to repairing or replacing your vehicle.
Comprehensive policies are the most likely to include cover for driving other vehicles, but you’ll need to check this with your provider before you jump behind the wheel. In most cases, your insurance on other vehicles will only be third-party.
- Third-party car insurance is good for drivers who might need to claim for damage they cause when driving.
If you’re worried about damaging other cars or property but can afford to pay for any damages on your own car without insurance, you might choose a third-party policy to suit your requirements.
What is third-party, fire and theft insurance?
Third-party, fire and theft insurance is like third-party insurance in that it mainly covers other drivers and third-party property damage. However, third-party, fire and theft policies are the next step up in terms of cover.
- A third party fire and theft policy means you can also claim for your vehicle if it’s damaged by fire or stolen.
If you’re worried about this kind of damage to your vehicle, a third-party, fire and theft policy can be a good choice. It’s important to remember that this type of insurance is still mostly about protecting other drivers and their property, and won’t cover injuries to yourself or your passengers, or any other damages to your vehicle.
Should I get third-party car insurance?
It’s important to note that insurers might charge a little more for third-party insurance because it’s a policy that can be more attractive to higher-risk drivers. However, because the risk is built into annual or monthly payments, you might not need to pay as much if you do make a claim.
There are many things to consider before making the decision. Depending on your financial situation and driving needs e.g. would the higher level of comprehensive cover work better for you than a third-party policy, where you’ll be paying for the repairs to your own vehicle?
If you’re confident you can afford this, third-party could save you some initial outlay. You can find out how to get cheaper car insurance here.
If you’re looking for a short-term solution, you might want to consider getting a temporary car insurance quote. While temporary and annual cover may be different, a short-term car insurance policy provides you with comprehensive cover as standard for a time that works for you.
Frequently Asked Questions
What is third-party car insurance?
Third-party motor insurance is a policy that covers damage (in an accident that is your fault) to another driver’s vehicle and any injury caused to them. It doesn’t cover damage to your own vehicle.
What doesn’t third-party insurance cover?
Third-party car insurance does not cover any damage to your car or injuries to you.
Does third-party insurance cover driving other cars?
This is very unlikely and only rarely included with fully comprehensive policies now. You can find out more on Tempcover’s Can I Drive Someone Else’s Car on my Insurance post.
What’s the difference between third-party and comprehensive insurance?
A comprehensive policy covers your own vehicle and personal injuries. You may have to pay more for this extra peace of mind.
What is an example of a third-party claim?
If you were at fault for an accident or caused damage to another vehicle or person without stopping and they took down your licence plate number, they would be the third party and within their rights to make a claim. This is because you were at fault. Your insurance company will contact you with further details.
Does third-party cover if someone hits you?
No, third-party car insurance only covers damage and injury to another vehicle or person involved in an accident.
Who is the third party in an accident?
The third party in a car accident is anyone who was involved but not at fault for the accident.
