Third-Party Car Insurance Online

Third-party car insurance is a type of motor insurance that covers you against any legal or financial liability if your car causes injury to someone else or damages their vehicle or property. It does not cover the damage to your own car or any injuries you may suffer in the accident.

This insurance is called "third-party" because the protection is for the third person involved in the accident—not you (the first party) or your insurer (the second party). For example, if your car accidentally hits another vehicle or a pedestrian, the insurance will pay for their medical treatment or repair costs, depending on the situation.

In India, third-party car insurance is mandatory under the Motor Vehicles Act. Every car owner must have at least this basic coverage to drive legally on public roads.

Legal Requirement: In India, the Motor Vehicles Act of 1988 mandates that all vehicle owners have third-party insurance. Driving without it may require you to pay fines and penalties.

Financial Protection: This insurance covers liabilities arising from injuries, death, or property damage caused to a third party by your vehicle. It shields you from substantial out-of-pocket expenses.

Affordable Premiums: Opting for cheap third-party insurance ensures compliance with legal requirements without straining your budget. It is a cost-effective way to stay protected.

Peace of Mind: Insurance for car third-party liabilities allows you to drive confidently, as you are safeguarded against unforeseen incidents.

Read More: How to Check Car Insurance Expiry Date?

Legal Obligation: The Motor Vehicles Act of 1988 requires every vehicle to have at least third-party insurance. Driving without it may require you to pay a fine ranging from ₹2,000 to ₹4,000.

Financial Protection: This insurance covers liabilities for third-party injuries, death, or property damage caused by your vehicle. It helps ensure that victims receive their compensation without adding much of a financial burden on the vehicle owner.

Economic Stability: By covering third-party liabilities, insurance companies help reduce the financial strain on victims and the government. It promotes a more secure and stable society.

Affordable Premiums: The cost of 3rd party car insurance is regulated by the Insurance Regulatory and Development Authority of India (IRDAI) and is based on the vehicle's engine capacity.

Also Read: Tips on How to Choose Car Insurance For Your 4 Wheeler.

When an accident occurs, and you are at fault, your third-party car insurance will cover the expenses for repairing the other party's vehicle and any medical treatment required for their injuries. It may also cover damages to other properties, such as fences or buildings, and legal liabilities arising from the accident.

It's important to note that the insurance company sets the coverage limits for Third-Party Insurance, which may vary based on the policy terms. Third-party insurance has set coverage limits. If the damages or liabilities exceed these limits, the policyholder may be personally liable for the remaining amount.

After you file a claim with us, we will evaluate the damage to the other party's vehicle and the medical costs for the injured third party. If the claim is deemed valid, we will pay for the third party's vehicle repair costs and any associated medical costs up to the policy's predetermined limit.

One of the critical advantages of third-party car insurance is that it meets the legal requirement in India, allowing you to drive legally on the roads. However, it's important to understand its limitations and consider additional coverage, like comprehensive insurance, for better protection for your own vehicle and potential medical expenses.

1. Affordable Premiums
3rd party car insurance is usually more budget-friendly than a comprehensive policy. The third-party car insurance price is lower because it only covers liabilities towards others and not damage to your own car. This makes it a cost-effective choice for anyone looking for essential legal coverage without paying a high premium.

2. Liability Coverage
Third-party vehicle insurance provides financial protection if your car causes injury, death, or property damage to another person. It covers third-party property like other vehicles, boundary walls, or public structures, ensuring you're not stuck with heavy expenses in such situations.

3. Limited Coverage
Third-party car insurance provides only basic protection. It does not cover any damage to your own vehicle, nor does it include protection against theft, fire, or natural disasters. This means that if your car is damaged or stolen, you will need to bear the repair or replacement costs yourself.

However, third-party policies usually include a mandatory Personal Accident Cover for the owner-driver, as per IRDAI guidelines. This cover provides financial support of up to Rs.15 lakh in case of accidental death or permanent disability while driving the insured vehicle. Do note, this benefit does not extend to passengers or to any damage sustained by the car.

4. Legal Compliance
Third-party car insurance is a legal requirement under the Motor Vehicles Act in India. Every vehicle owner must have at least this basic level of coverage to drive on public roads. It ensures that if your vehicle causes harm to another person or their property, the financial liability is covered by your insurer. Driving without valid third-party insurance can lead to fines, penalties, or even legal action, making it essential to keep your policy active and updated.

5. Simple and Fast Purchase Process
Buying third-party car insurance online is quick and convenient. The process requires minimal documentation and can be completed within minutes. Most insurers offer instant policy issuance, allowing you to get legally covered without delay. In addition to fulfilling legal requirements, these online platforms also provide access to the Personal Accident Cover for the owner-driver as part of the policy, ensuring an added layer of protection.

Third-party insurance coverage is vital for the following reasons:

Legal requirement - According to The Indian Motor Vehicles Act of 1988, every motor vehicle needs to have a third-party car insurance plan. You may be charged penalties if you don't have a valid third-party car insurance policy. Third-party car insurance renewal online is a simple and less time-consuming process.

Coverage for third-party liabilities- A third-party car insurance plan covers third-party person injuries, death or property damages due to your insured car. You can register for a car insurance claim online at your convenience.

Safety net - Provides financial security for unforeseen accidents due to your insured car.

As of 2025, the Insurance Regulatory and Development Authority of India (IRDAI) has updated the third-party car insurance premium rates. These rates are determined based on the engine capacity of the vehicle. Below is a detailed breakdown:

**1.Private Cars: **

Note: These rates are consistent with the premiums set for the financial year 2023-24. ​

2.Long-Term Policies for New Private Cars:

​These long-term policies offer coverage for three years, providing policyholders with extended protection and potential savings. ​

3.Electric Private Cars:

​These rates reflect a 15% discount compared to traditional vehicles, promoting the adoption of environmentally friendly transportation options.

4.Long-Term Policies for New Electric Private Cars:

5.Proposed Discounts:

• Educational Institution Buses: A special discount of 15% has been proposed for buses owned by educational institutions.

• Vintage Cars: Private cars registered as Vintage Cars may enjoy a 50% discount on the base premium rates.

• Hybrid Electric Vehicles: A discount of 7.5% has been proposed for hybrid electric vehicles, promoting the use of eco-friendly transportation.

These premium rates are regulated by the Ministry of Road Transport and Highways (MoRTH) in consultation with IRDAI, ensuring standardised pricing across the industry.
For the most accurate and up-to-date information, it is advisable to consult the official IRDAI website or contact authorised insurance providers.

The Insurance Regulatory and Development Authority of India (IRDAI) has outlined the third-party car insurance premium rates for electric vehicles (EVs) for the fiscal year 2025. These premiums are categorised based on the vehicle's power output (measured in kilowatts, kW) and the policy duration:
​
One-Year Single Premium for Electric Cars*

These rates reflect a 15% discount compared to traditional vehicles, promoting the adoption of eco-friendly transportation options. ​

Three-Year Single Premium for Electric Cars

​Opting for a three-year policy offers extended coverage and potential cost savings.

• Discounts for Electric Vehicles: To encourage the use of electric vehicles, IRDAI has approved a 15% discount on third-party premiums for EVs. ​

• Policy Duration Options: Vehicle owners can choose between one-year and three-year policy terms, providing flexibility based on individual preferences.​

• Legal Compliance: Maintaining valid third-party insurance is mandatory under the Motor Vehicles Act, 1988, ensuring financial protection against liabilities arising from accidents involving third parties.​

For the most accurate and up-to-date information, it is advisable to consult the official IRDAI website or contact authorised insurance providers.

TATA AIG’s Third-Party Car Insurance is your legal shield on the road. It protects you from financial liabilities if your vehicle accidentally causes injury, death, or property damage to someone else. As it is required under the Motor Vehicles Act, this policy isn’t optional; it’s mandatory for all car owners in India. While it keeps you covered against third-party claims, it’s important to note that it doesn’t include damage to your own vehicle.

Things Covered in Tata AIG’s Third-Party Car Insurance

• Third-Party Liability: This covers legal liabilities arising from bodily injury or death of a third party, including pedestrians and passengers, due to an accident caused by the insured vehicle.​
• Property Damage: Provides coverage for damages caused to third-party property, such as another vehicle, a boundary wall, or any other structure for which the policyholder is responsible.​
• Personal Accident Cover (Owner-Driver): This includes mandatory personal accident coverage, offering compensation in case of permanent disability or death of the insured owner-driver due to an accident.​

Things Not Covered in Tata AIG’s Third-Party Car Insurance

• Own Vehicle Damage: This does not cover damages to the insured car in case of an accident. A comprehensive policy is required for such coverage.​
• Personal Injuries to Policyholder & Passengers: This does not cover medical expenses for the policyholder or passengers inside the insured vehicle.​
• Non-Accident-Related Damages: Losses due to theft, fire, natural calamities, riots, or vandalism are not covered under third-party car insurance.​
• Driving Under the Influence: If the driver is under the influence of alcohol or drugs, third-party claims will still be paid as per the law. However, the insurance company can ask the policyholder to repay the amount later.

You can easily determine the price of your Tata AIG third-party car insurance using our specially designed third-party car insurance calculator. The calculator considers your car's engine's cubic capacity (cc), aligning with the premium rates set by the Insurance Regulatory and Development Authority of India (IRDAI).

Although the car insurance cost follows standardised rates, it is essential to calculate the premiums due to variations in the cubic capacity among different cars. This ensures that you get an accurate quote tailored to your specific vehicle.

The IRDAI reviews and updates these third-party car insurance rates annually to keep up with industry changes and maintain fairness. You can easily calculate your car insurance price by referring to the existing rates in the table provided.

Rest assured that our user-friendly calculator considers all relevant factors, making the process hassle-free and enabling you to obtain the most up-to-date and accurate third-party car insurance cost for your Tata AIG policy.

[*Note – These prices can change as per the new rules by the IRDAI]

Before you buy car insurance in India, several crucial factors should be considered to ensure you make an informed decision and obtain the right coverage for your needs.

Let's explore these factors:

• Legal Requirement: Understand that Third Party Car Insurance is legally mandatory in India. It is the minimum insurance coverage required to drive legally on public roads. Ensure you comply with this legal requirement to avoid penalties or legal issues.
• Coverage Limit: Third Party Car Insurance offers limited coverage for damages and injuries to third parties only. Familiarise yourself with the coverage limits provided by the policy, as these are predetermined and may vary among insurers.
• Add-Ons and Riders: Although Third Party Car Insurance is basic, some insurers may offer optional add-ons and riders to enhance coverage. Consider add-ons like Personal Accident Cover for passengers or legal protection to customise the policy according to your requirements.
• Premium Cost: Compare premium costs from different insurers to find a policy that suits your budget. The premium is typically determined based on factors such as the vehicle's cubic capacity (CC), location, and vehicle age.
• Insurer's Reputation: Research the insurer's reputation, claim settlement record, and customer service. Tata AIG is a reputable insurer known for hassle-free and efficient claim settlement.
• Policy Terms and Conditions: Carefully read and understand the policy's terms and conditions, including inclusions and exclusions. Be aware of specific requirements or conditions affecting your coverage or claim process.
• Coverage Limitations: Be aware of the limitations of Third-Party Car Insurance. It does not cover damages to your vehicle or personal injuries sustained in an accident. Consider Comprehensive Car Insurance if you need broader coverage.
• Claim Process: Tata AIG’s claim settlement process is swift and easy to proceed. Our smooth and straightforward claim process is crucial during emergencies; hence, this is one of the most important factors to consider before purchasing third-party car insurance.
• Customer Reviews: Check online reviews and feedback from other policyholders to gain insights into the insurer's customer service, claim settlement efficiency, and overall customer satisfaction. For Tata AIG, you can review a few testimonials from our past customers at the end of this page.
• Renewal Process: Understand Tata AIG’s car insurance renewal online process and be mindful of renewal dates to ensure continuous coverage without any lapses.

Opting for Tata AIG’s Third-Party Car Insurance Online offers multiple advantages, ensuring convenience, legal compliance, and financial security. Here are the key benefits:

• Ease of Purchase:
  Buying third-party car insurance online is quick and hassle-free, eliminating the need for physical visits. The entire process can be completed from the comfort of your home within minutes.

• Instant Policy Issuance:
  Receive the third-party motor insurance policy instantly via email upon successful payment. No waiting period ensures immediate legal compliance.

• Convenient Renewals:
  Car insurance third-party renewals are seamless, with timely reminders for policy expiration. A few simple clicks allow policyholders to extend coverage without disruptions.

• Competitive Pricing & Cost-Effective Solution:
  Third-party car insurance premiums are lower than comprehensive insurance, making it an affordable choice. Eliminates administrative costs associated with paperwork, making it more cost-efficient.

• Secure Payment Options:
  The online platform provides safe and encrypted payment gateways, ensuring transaction security. Multiple payment options like UPI, net banking, and credit/debit cards are available.

• Comparative Analysis for Better Decisions
  Customers can compare third-party motor insurance online with other policies before purchase. Helps in selecting the best plan with optimal premium costs and benefits.

• 24/7 Accessible Customer Support
  Dedicated support via chat, email, or phone to assist with policy queries or claims. Quick resolution of concerns ensures a seamless user experience.

• Instant Documentation & Digital Records
  Policyholders receive all insurance-related documents digitally, accessible anytime. Reduces the risk of losing important papers, ensuring easy retrieval.

• Legal Compliance & Peace of Mind
  Third-party vehicle insurance is mandatory under the Motor Vehicles Act, ensuring legal compliance. Protects policyholders from potential penalties or fines for non-compliance.

• Time & Effort Efficiency
  The online third-party car insurance process is paperless, reducing manual effort. Saves time for both the insurer and the policyholder while ensuring quick issuance.

By choosing Tata AIG’s Third-Party Car Insurance Online, policyholders get a secure, efficient, and user-friendly experience while ensuring financial protection and legal compliance.

Comprehensive and Third Party Car Insurance are two distinct types of auto insurance policies offering different coverage levels. Understanding the key differences between the two is essential for car owners to make an informed decision based on their specific needs.
Here are the main contrasts between Comprehensive and Third-Party Car Insurance:

Purchasing or renewing third-party car insurance online with Tata AIG is a quick and hassle-free process. Here’s a step-by-step guide to ensure a seamless policy purchase or renewal:

Step 1: Visit Tata AIG’s Website:
Go to the official Tata AIG General Insurance website.

Step 2: Select the Four-Wheeler Insurance Category:
Click on “Car Insurance” or “Four-Wheeler Insurance” to proceed.

Step 3: Enter Vehicle Details:
Provide necessary details such as:

• Car make & model
• Manufacturing year
• Registration number

Step 4: Choose Policy Type:
Select third-party liability insurance as the desired coverage type. This policy covers third-party damages or injuries caused by an accident where you are at fault. It does not cover your own vehicle's damage.

Step 5: Consider Add-ons (If Available):
Note: Third-party motor insurance does not offer add-ons or additional coverage, as it is a basic policy required for legal compliance.

Step 6: Enter Personal Details:
Fill in your name, contact number, and email ID for policy issuance.

Step 7: Review & Compare:
Check the third-party car insurance price, coverage for third-party liabilities, and benefits, including legal compliance and protection against third-party claims.

Step 8: Make Payment:
Pay the premium through secure online payment options (debit/credit card, net banking, UPI, or wallets).

Step 9: Receive Your Policy Instantly:
After a successful transaction, the policy document is emailed instantly. You can download and print the document for future reference.

Step 1: Visit Tata AIG’s Renewal Page
Go to the car insurance renewal section on Tata AIG’s official website.

Step 2: Enter Previous Policy Details
Provide details of your expiring third-party vehicle insurance policy:

• Policy number
• Expiry date

Step 3: Review & Compare
Review your existing third-party policy details before renewal. If you’re looking for broader protection, such as coverage for damages to your own vehicle—you may consider switching to a comprehensive car insurance policy during renewal.

Step 4: Make Payment
Pay the renewal premium using a secure online transaction method.

Step 5: Receive Your Renewed Policy
Upon successful payment, the renewed third-party car insurance policy is emailed immediately. Download and store the policy document for future reference.

If you follow a few smart steps, getting third-party car insurance at a low price is simple. This type of insurance already costs less than other plans, but here’s how you can save more:

Compare Different Insurance Companies
Visit insurance websites or use comparison platforms to check prices from different companies.Even though the coverage is standardised, different insurers may offer varied premiums

Buy Online
Buying car insurance directly from the company’s website is usually cheaper than buying it through an agent. It helps you save money because there are no extra charges or commission fees. Tata AIG has a simple and safe website where you can check different plans, fill in your details, and buy third-party car insurance easily. The process is quick and does not require any paperwork. You also get your policy instantly after making the payment. This makes it a fast and convenient option for anyone looking to stay protected and follow the law.

Avoid Unwanted Extras
Third-party insurance only covers damage to other people or their property. It does not include add-ons like personal car damage or theft protection. Opting only for third-party coverage helps keep the premium low.

Choose a Trusted Insurance Provider
Choosing an insurance provider isn’t just about price. It’s also about ease of purchase and brand trust. With TATA AIG General Insurance Company Limited, you can get a third-party car insurance quote quickly, without filling lengthy forms.It saves time and keeps things simple. Plus, with the backing of the TATA name, you know you’re dealing with a company that stands for trust and reliability. It’s a practical option for anyone looking for straightforward service and a name they can count on.

Renew on Time
Always renew your insurance before it expires.Late renewal may result in vehicle inspection or higher premiums
Look for Long-Term Policies
Some insurers offer long-term third-party policies for new cars. These plans may cost less overall than buying a one-year policy and renewing annually.
By following these steps, you can find a third-party car insurance policy that fits your budget and keeps you legally protected on the road.

Third-party car insurance is a legally required policy that provides financial protection against liabilities arising from damage or injury caused to a third party. While it offers important legal and financial coverage, it also comes with certain limitations. Below is a comparison of its key advantages and disadvantages:

Filing a Claim as a Policyholder (Own Damage Claim)

If your car is damaged due to an accident, you can raise an own damage claim under your Tata AIG policy. Follow the steps below to complete the process:

Step 1: Ensure Safety and Secure the Scene
After the accident, ensure everyone is safe. Move your vehicle to a safe spot if possible, turn on the hazard lights, and help any injured individuals. Call the police or medical help if needed.

Step 2: Inform Tata AIG
Contact Tata AIG immediately to report the accident. You can do this through the website, mobile app, or customer helpline. Timely reporting is important for smooth claim processing.

Step 3: File a Police Report (If Required)
For major accidents or legal disputes, file an FIR at the nearest police station. This is usually required in cases involving bodily injury, major property damage, theft, or third-party involvement.

Step 4: Claim Survey and Inspection
Tata AIG will assign a surveyor to assess the damage to your vehicle. The surveyor will inspect the car and prepare a report to support the claim.

Step 5: Submit Required Documents
Submit the completed claim form, a copy of the FIR (if applicable), your insurance policy, vehicle registration certificate (RC), and your driving license.

Step 6: Claim Settlement
Once the documents are verified and the survey is complete, Tata AIG will approve and process your claim. The approved amount will be paid to you based on the policy terms, after applicable depreciation or deductible amounts are adjusted.

Filing a Claim as a Victim (Third-Party Liability Claim)

If you are a victim of an accident and the other vehicle is insured with Tata AIG, you can file a third-party liability claim. Follow these steps:

Step 1: Gather Information
Collect all important details about the accident. Note the date, time, and location, and gather the contact details of the driver, witnesses, and vehicle owner. Take photos of the accident scene, vehicle damage, and any visible injuries.

Step 2: Report the Accident
File a police complaint and obtain an FIR from the nearest police station. An FIR is required to initiate a third-party insurance claim.

Step 3: Identify the Insurer
Get the insurance policy details or registration number of the at-fault vehicle. Contact Tata AIG or visit the official website to confirm the insurer and policyholder details. You can use the vehicle registration number to check the insurance details through the VAHAN portal or by contacting Tata AIG directly.

Step 4: Inform Tata AIG
Notify Tata AIG and submit the accident details along with a copy of the FIR. The insurer will guide you on the claim procedure or may refer you to the Motor Accident Claims Tribunal (MACT), depending on the situation.

Step 5: Claim Survey and Inspection
Depending on the case, Tata AIG may appoint a surveyor to assess the damage to your vehicle or property. Cooperate with the surveyor and provide any supporting documents or evidence.

Step 6: Submit Required Documents
Provide all necessary documents, including the FIR, a copy of your vehicle's registration certificate (if applicable), driving licence, medical bills (in case of injury), and any additional documents requested by the insurer.

Step 7: Claim Settlement
Compensation for injury or property damage is usually decided by the Motor Accident Claims Tribunal (MACT). Tata AIG, as the insurer of the at-fault vehicle, will pay the approved amount on behalf of its policyholder, as per the law and policy terms.

Tata AIG's Third Party Car Insurance provides essential coverage for damages and injuries to third parties caused by the policyholder's vehicle. While it fulfils legal requirements and offers affordability, it does not protect against damages to the insured vehicle or injuries sustained by the policyholder.

You should consider Comprehensive Car Insurance with optional add-ons for more comprehensive protection. Our user-friendly online platform lets policyholders easily purchase or renew their Third Party Insurance, benefit from instant policy issuance, and access secure payment options.

By understanding the policy's coverage and limitations, car owners can make informed decisions to ensure adequate protection on the road. Happy driving!

"I've been using TATA AIG's third-party car insurance for the past two years, and I must say, it has been a hassle-free experience. Recently, I had an unfortunate accident where my car collided with another vehicle. Thanks to TATA AIG, the claim process was smooth and efficient. They handled everything promptly, from filing the claim to settling it without hassle. I highly recommend TATA AIG for their excellent customer service and reliable third-party car insurance coverage."

Rajesh Kumar, Delhi.

"I was sceptical about buying third-party car insurance initially, but after researching various insurers, I chose TATA AIG, which was the right decision. Last month, my car accidentally damaged someone's property, and I was worried about the costs involved. TATA AIG came to the rescue! Their team guided me through the claim process and ensured a quick settlement. I appreciate their professionalism and commitment to customer satisfaction. I feel more secure on the road knowing I have TATA AIG's third-party car insurance."

Sneha Patel, Mumbai.

"TATA AIG's third-party car insurance has been a reliable and cost-effective choice for me. I recently had a minor accident where I damaged another car's bumper. Despite being a small claim, TATA AIG treated it with utmost importance and settled it efficiently. Their online platform made the claim process incredibly convenient, and I received the settlement amount within days. TATA AIG's third-party car insurance is the best value for money, and I will definitely continue using their services."

Ravi Verma, Bangalore.