Third-party vehicle insurance provides coverage against expenses incurred towards treating injuries to a third-party or their property caused due to an accident involving the insured vehicle. A Third-party Liability policy is mandatory as per Indian law.
As per the Motor Vehicles Act 1988, it is mandatory for every vehicle to have third party insurance. This type of insurance helps to provide for the legal obligations of the insured towards the third party. It includes the financial expenses for any physical injuries caused to another person or their vehicle in case of an accident. The insurance company handles all the expenses related to compensating the third-party, their property or their family members in case of death of a third party.
Violation of this rule can lead to:
- Suspension of the individual’s driving license
- Suspension of the vehicle’s registration
- Fine of Rs. 2000 and/or imprisonment for a period of three months
Buying car insurance online in India
Getting this insurance has become extremely easy with multiple vehicle insurance online providers in the market. There are many aggregators also who help compare the features of various car insurance policies online and help select the right insurer.
Buying car insurance online not only ensures comfort but also guarantees that you get the best deal available in the market. Additionally, procuring vehicle insurance online eliminates the need to go through brokers or other such intermediaries.
Reasons why vehicle insurance is mandatory in India
- Road fatalities
As per the statistics released by the Indian government in 2017, road accidents led to 1290 cases of injuries and 405 people lost their lives every day.
- Protects the third party
The third party insurance ensures that no person suffers due to the driver’s inability or lack of means to pay for damages caused to them.
- Legal Costs
Without the necessary insurance policy, people can get embroiled in cumbersome and long legal processes.
- Hospital Bills
In case of an accident, hospitalization and treatment costs can burn a deep hole in one’s pockets. A good vehicle insurance policy covers these expenses.
- Support to family
Vehicle insurance policies can provide the much-needed support to the family members in case of an eventuality.
- Personal Accident Cover
In order to safeguard the insured and provide them with financial support in case of a fatal accident, some amendments were introduced recently. As per these orders, Third-party motor vehicle insurance policies provide a personal accident cover of Rs. 15 Lakhs.
Comprehensive Car Insurance Online
In case of an accident caused by the driver, a comprehensive insurance policy will help the individual to not only meet the legal obligations towards the third party but also help in getting his or her own vehicle repaired. These policies also compensate the vehicle owner in case of theft or burglary. Many insurers also offer special add-on features in their policies. Benefits such as round-the-clock spot assistance, complimentary car towing facilities and legal support are included in many comprehensive vehicle insurance policies.
Final Word
So, before you hit the road next time, ensure that your vehicle is well-protected. A nominal premium can safeguard you from loads of expenses that might hit you in case of an unforeseen event. And the best part is that it will not take much time as well. Compare and select from the wide range of car insurance available online in India. Just a couple of clicks and get your desired car insurance online from the comforts of your home.
I feel the most important point is to make up for the monetary loss due to lost vehicle. And the the second reason is third party coverage.
I feel the most important point is to make up for the monetary loss due to lost vehicle. And the the second reason is third party coverage.