Third Party Insurance
Third party insurance refers to an insurance policy type. It is the minimum cover required to be in place in many international countries such as Nigeria and the UK. Not having this minimum over is a criminal offense and carries a fine and/or penalty.
Third party insurance typically covers the following:
· physical damage to another vehicle or structure;
· injuries to a third party or your own passengers; and
· medical treatment cost and legal cost claims against you.
A third party insurance policy is offered by the majority of insurance companies, it is often the cheapest option. It is common for new and young drivers to opt for third party only cover as it is cheaper.
As a third party involved in an accident, it should not concern you what level of cover the other party has – as long as they have some form of insurance of which third party is the minimum.
Should I get third party only insurance?
Anyone who owns a high-value vehicle should definitely opt for a policy with greater coverage than third-party cover, any small savings made on the policy premium will be negated should you be unlucky enough to have an accident and need to make a claim.