The term third party refers to a person involved with a car insurance claim who is not you the holder of the policy or the driver.

What does third party car insurance include. Your third-party liability covers the following. Third-party car insurance is designed to protect you from legal action in the event that you cause an accident. But what does that mean.

It covers damages and injuries caused by the insured vehicle to a third-party person or property. What does third party insurance cover. In Canada third-party liability insurance kicks in if youre found responsible for damage to a persons property injuries or death.

It covers the victims property and any medical costs due to injury. Third-party insurance provides coverage when you are responsible or at fault resulting in property damage or personal injury. Third-party insurance pays the charges when someone makes a claim against you or your car insurance company.

Repair costs to any property youve damaged. So this is usually the other driver involved in an accident. Third party car insurance is the minimum level of cover you can take out - it is a legal requirement.

The cost of repairs to any vehicles damaged in an accident for which youre determined to be at fault. So if the value of your car isnt huge third party car insurance may be enough cover for you. TPO covers damage to other people and other cars but any damage to your own car is your responsibility to fund and sort.

In laymans terms it means that anyone who is personally injured. What are the requirements to get third-party auto insurance. In such cases your third-party car insurance will cover for the losses incurred.