Statutory mandatory insurance protecting against legal financial liability to third parties.
Third-Party Liability Cover is mandatory insurance required under the Indian Motor Vehicles Act. It covers legal financial liabilities arising from accidental bodily injury, disability, death, or property damage caused to a third party (pedestrian, passenger, or another vehicle owner) by your vehicle.
If your car accidentally hits another vehicle causing ₹1.5 Lakhs property damage, Third-Party Liability cover pays the compensation to the third party.
Third-Party cover pays ZERO damages for repairs to your own car. Comprehensive policy covers both Third-Party liability AND Own Damage.
Many policyholders misunderstand this clause until a claim actually occurs. Always verify the exact definitions in your policy wording schedule rather than relying on verbal marketing summaries. Disclose all material facts truthfully at the time of proposal to help ensure smooth claim assessment without non-disclosure issues.
Third-party property damage is capped at ₹7.5 Lakhs by default. Injury and death liability payouts are determined by Motor Accident Claims Tribunal (MACT).
Always opt for Comprehensive or Zero Dep cover to protect your own vehicle alongside mandatory third-party liability.
Explore policy features, benefits, terms, and parameters for this insurance category.
Speak with a Qualified Insurance Sales Person (ISP) at RakshaPoint IMF for parameter-based guidance.
Transparent parameter-based policy guidance from qualified Insurance Sales Persons (ISPs) under IRDAI IMF regulations.