This insurance pays for the injuries of the occupants of the other vehicle the cost of repairing it as well as damages caused when you are determined to be the at-fault driver.

What is third party coverage in car insurance. Third-party liability car insurance prevents you from paying for the damage out-of-pocket and is the only type of car insurance thats mandatory across Canada. Third party insurance protects customers against financial ruin from potential claims for injuries or damages they may cause to another person. Its a critical portion of every auto policy in Canada that protects the insured driver and owner of the vehicle if the.

In the US this type of coverage is more commonly referred to as liability insurance. Most states require both types of coverage. There are a few insurance providers that charge a little extra for third-party coverage.

In other words when you purchase this coverage its designed to protect you financially if someone files a claim against you. Suppose it happens to you and you are found to be at fault for the collision. Even if you do everything you can to prevent damage or injury they still happen.

There are two different types of third-party coverage for auto insurance and theyre both required in most states. Apart from that this policy covers you for expenses associated with the. A car accident can happen to anyone even to the most cautious drivers.

Common types of third-party insurance coverage. Your third-party liability auto insurance questions answered. Third-party liability insurance TPL is an important form of protection found in your automobile policy.

Third party car insurance can be defined as liability insurance that is designed to provide protection to other motorists and property owners for the damage you cause. Third-party only car insurance. In particular it will help cover any costs youre required to pay for vehicle damages or injuries sustained by other drivers or their passengers.