Third party insurance is considered as the minimum legal cover that is required by the European Law. This is the most basic type of car insurance policy that includes any damage to objects or people involved in the accident.
Third party car insurance does not include you and your car. This type of car insurance also covers the damage to other people or their cars. The total amount of the claim received varies between insurers, but it is approximately twenty million Pounds. The extra money to be paid as a third party fees is also given apart from the claim.
This type of car insurance is the best choice for those people who wish to reduce the amount of their insurance. It should be made clear that, if the car is damaged or stolen by any means it is not possible to make a claim. Third party car insurance is best suited for low value vehicles and most commonly the insurance companies limit their third party policy cars valued below 5 thousand pounds.
Some insurance companies do not offer third party car insurance as quite often they make the third party fire and theft cover comparatively cheaper. This is due to a simple reason that the insurance provided by the third party insurance is very basic. Young drivers opt for third party insurance because they have cheap vehicles and there is no need for cover in case of theft or damage. More claims are made on third party insurance by the young drivers, hence the insurers are increasing the prices for the third party insurance which will cover their cost of claims. This cover protects the third party or the drivers that get injured in the accidents and also their cars if they are damaged.
In the third party car insurance you will never make a claim yourself and neither your car. This type of insurance policy meets the minimum required amount of car insurance which is legally necessary to drive in the European countries.