Tata AIG Third Party Insurance

As its name suggests, a third party liability insurance policy is an insurance plan that provides you with coverage against third-party liabilities. The Motor Laws applicable in the country have made it mandatory for all vehicles, two-wheelers and four-wheelers alike, to have a third party vehicle insurance policy.

One of the main reasons for this legal mandate is the protection of the relevant third party against the damages sustained in an accident caused by the insured vehicle. Therefore, the third party insurance meaning is clear: it is a plan that has been designed to offer you coverage against any third-party liabilities arising out of an accident involving your car or bike, including bodily damage to third-party persons.

A third party insurance policy typically covers the following damages:

1.Damages to third-party property, including their vehicle
2.Injuries to third-party persons
3.The death of a third-party person

You can purchase third party insurance online by visiting our official website. At Tata AIG, we offer third party bike insurance as well as third party car insurance plans that offer substantial coverage against third-party liabilities. By buying these policies, you can be financially secured against any third-party liabilities pertaining to your vehicle.

However, if you wish to have comprehensive coverage for your vehicle, then you must opt for our comprehensive car insurance plan or comprehensive bike insurance plan.

The third party insurance price in India is determined by the insurance premium rates Declared every year by the Insurance Regulatory and Development Authority of India (IRDAI).

1.Third party car insurance price: The price of your third party car insurance policy is decided on the basis of several factors, including your car's engine cubic capacity and the prevailing third-party car insurance rates for a particular year. The following table sheds light on the present third-party car insurance rates as declared by the IRDAI.

2.Third party bike insurance price: Akin to a third-party car insurance policy, the price of a third party bike insurance policy is driven by the cubic capacity of your bike's engine and the annual rates of third-party bike insurance announced by the Insurance Regulatory and Development Authority of India. Here are the present rates for third party bike insurance plans in India.

Before purchasing third party car insurance online, it is important to understand who the third party in such a plan is. The same principle applies to the purchase of third party bike insurance online. This understanding can enable you to understand the workings of a third party insurance plan.

There are three parties to any third party insurance contract.

1.The first party: The owner of the bike or car is the first party in an insurance contract.

2.The second party: The insurer is the second party in an insurance contract.

3.The third party: Any other person other than the first and second party mentioned above is considered a third party in an insurance contract.

A third party insurance policy provides a financial safety net to the first party against any damages caused to a third-party as a result of an accident involving their vehicle. Therefore, any medical costs for the treatment of the third-party in such a scenario are covered by this policy.

With regard to the second party in a third party insurance contract, that is, the insurance provider, their responsibility is to provide the coverage to the first party as promised under the plan.

The third-party or the party that suffers any damage to their property, vehicle, or person is entitled to file a legal complaint against the first party to claim the cost incurred due to said damages. This includes the cost of hospitalisation resulting from bodily injuries as well as the death of the third party due to the accident-induced injuries.

If you wish to purchase a third party insurance policy, then you must have a thorough understanding of what is covered under such a policy. A third party vehicle insurance policy covers the following:

1.Damages due to the injuries to or death of a third-party person: If an accident caused by your bike or car leads to injuries for any third-party persons, then the resulting liabilities are covered by a third party insurance policy. This includes the expenses borne out of the hospitalisation of the third-party person/s. Furthermore, if a third-party person succumbs to said injuries, then the resultant legal and financial liabilities are also covered under this plan.

2.Damages caused to a third-party property: Any damages caused to a third-party property in an accident caused by your vehicle are covered by a third party insurance policy. This includes the damages caused to the relevant vehicle of the third party.

3.A Personal Accident Cover for the owner or driver of the car: Not only do you get third party coverage under a third party insurance policy, but you also get a Personal Accident Cover amounting to ₹15 lakhs. This covers the cost of any medical expenses and/or hospitalisation expenses incurred due to an accident-induced injury. In the event of your demise because of said injuries, your nominees are entitled to receive this amount.

It is important to note that the motor laws in India require you to not only have a valid third party insurance policy but also to keep the policy with your vehicle at all times, even when the vehicle is not being used. This policy can be stored either in physical form with your vehicle or a digital form on your phone, tablet, or laptop.

In addition to perusing the inclusions in your third party insurance policy, you must also pay attention to the exclusions in such a policy. Whilst a third party insurance policy protects you against the financial ramifications of any third-party damages or injuries, it does not protect you against several other damages, which have been discussed below.

1.Own damages to your vehicle: The damages sustained by your own vehicle are not covered by a third party vehicle insurance policy.

2.Driving without a valid Driver's License: Any accidents caused whilst you are driving your vehicle without a valid Driver's License are not included in the coverage of this plan.

3.Driving under the influence of alcohol or drugs: If you indulge in drunk driving or driving under the influence of any narcotics, then any resultant accident involving your vehicle is outside the ambit of a third party insurance policy.

4.Driving outside the geographical limits mentioned in the policy: You can or cannot file a third party insurance claim for any accidents involving your vehicle that occur outside the geographical limits mentioned in your third party insurance policy.

5.Contractual Liability: Any accidents and subsequent liabilities arising pertaining to a vehicle that has been contracted out or pledged are not covered under this policy.

6.Unauthorised usage of the vehicle: The usage of a private car for commercial purposes or for speed racing and any accidental damages caused as a result are not covered by this plan.

7.Vehicles driven by a non-designated driver: Any accidents caused by a vehicle that is not being driven by its designated driver or owner are excluded from the coverage of this policy.

8.Substantial or Total Loss to your vehicle: A third party insurance policy does not cover the total damage or substantial damage caused to a third-party vehicle due to an accident involving the insured vehicle. Therefore, the theft or total loss of a third-party vehicle is excluded from this plan.

9.War: Any third-party damages arising out of a war or war-like situation are not covered by a third-party insurance policy.

10.Nuclear Disaster: If a third-party vehicle is damaged or a third-party person is injured due to a nuclear disaster, then the resultant expenses are not covered under this plan.

A third party insurance policy has certain key features that have been discussed below.

1.Basic Insurance Coverage: A third party insurance policy offers you basic vehicle insurance coverage in the form of cover for third-party liabilities. It does not include coverage for the damages caused to your own vehicle due to accidents, natural calamities, man-made dis, theft, fire, transit, etc.

2.Feasible premium: The premium of a third party vehicle insurance policy is determined on the basis of the cubic capacity of your vehicle as well as the insurance rates announced every year by the IRDAI. This premium is usually affordable so as to enable every vehicle owner to buy a legally mandated vehicle insurance plan.

3.No cover for own damages: A third party insurance policy does not comprise any coverage for own damage to your vehicle. Therefore, in the event of any such damages, your pockets may end up being substantially lighter. Therefore, it is advisable to opt for a comprehensive vehicle insurance policy.

4.Personal Accident Cover: A third party insurance policy offers a Personal Accident Cover for the owner-driver of yeh insured vehicle. This cover is to the tune of ₹15 lakhs.

5.Cashless Insurance: With the availability of cashless claims for the damages caused to any third-party vehicles by the insured vehicle, your vehicle insurance claim experience can become hassle-free.

Buying a third party insurance policy offers you several benefits. Here are some of the pros or benefits of third party insurance.

1.Fulfils a legal mandate: Since having a third party insurance policy is legally mandatory to drive in India, such a policy enables you to drive legally on the country's roads, thereby sparing you the need to pay any fines or penalties to the traffic authorities.

2.Provides coverage against third-party liabilities: With a third-party vehicle insurance policy, you get coverage against third-party liabilities, including injuries sustained by any third-party persons and the damages caused to any third-party property. This plan also covers the relevant third-party legal liabilities.

3.Offers you a Personal Accident Cover: If you happen to get injured in an accident involving your vehicle, then the Personal Accident Cover of a third party insurance policy can be of great assistance to you. With a sum insured of ₹15 lakhs, you get coverage for hospitalisation expenses as well as a death benefit for your nominee.

4.Helps you save your savings: By protecting you against the financial and legal implications of third-party damages, a third party insurance policy helps you keep your savings safe.

5.Time and cost-effective: You can purchase third party car insurance online, a facility that entails significant savings in terms of cost, time, and money. You can also purchase and renew third party bike insurance online.

Although a third party insurance policy provides you with a substantial degree of coverage against third-party liabilities, it does not provide you comprehensive coverage. If you wish to have comprehensive coverage for your vehicle, then you must buy a comprehensive insurance policy instead.

Here are some of the major cons or limitations of a third party vehicle insurance policy.

1.No coverage for damages to your own vehicle: As is clear from its name, a third party vehicle insurance policy only offers coverage for third-party damages. Any damages sustained by your vehicle in an accident are not part of the coverage of this plan, which means all the necessary repair expenses shall have to be borne by you.

2.No coverage for damages caused by natural disasters: If your vehicle is damaged due to any natural disaster, for instance, earthquakes, cyclones, floods, etc., then you cannot file a third party insurance claim. This is because the aforementioned damages are not covered by this plan.

3.No coverage for damages due to man-made calamities: Any damages sustained by your vehicle due to man-made calamities such as strikes, riots, etc., are not covered by a third party insurance policy.

There are several key differences between a comprehensive insurance policy and a third party insurance policy. These differences have been summarised in the following table.

Comprehensive vs Third Party Insurance

There is no way to predict any of the uncertainties that are an inevitable part of life. However, it is possible to have some contingency measures in place to be prepared for such situations. A third party insurance policy is one such measure. If you are wondering why you need a third party insurance policy, then the following reasons may help address this question.

1.It helps you comply with the law: Buying a third party insurance policy ensures that you comply with the motor laws applicable in India. If you do not have a valid third party insurance policy, you will have to pay fines.

2.It provides you with financial assistance: By covering the cost of third-party liabilities and offering you a Personal Accident Cover, a third party insurance policy provides you with substantial financial assistance.

3.It offers you legal protection: Not only does a third party insurance policy cover the financial cost of third-party liabilities, but it also offers you coverage against the legal implications of third-party damage claims.

4.It is cost-effective: A third party insurance policy is cost-effective and pocket-friendly. And the cost-effectiveness can be further enhanced if you purchase third party insurance online. The purchase of third party bike insurance online and third party car insurance online can help you benefit from substantial discounts on the policy premium.

If you are looking for an excellent third party insurance policy, then Tata AIG is a brilliant option for you. The Tata AIG Third Party Car Insurance Policy and the Tata AIG Third Party Bike Insurance Policy are both feature-laden plans that are feasible. Here are some of the many reasons why you must opt for a Tata AIG third party insurance policy.

1.A TATA promise: By purchasing a Tata AIG third party insurance policy, you shall have secured the commitment of one of India's most trusted brands. With decades of proven excellence in customer service and quality service delivery, Tata AIG is an association you shall be keen to continue for the long term.

2.Coverage in compliance with the law: Our third party insurance policies have been designed to offer you sufficient coverage in compliance with India's motor laws. In addition to a cover for the financial and legal liabilities associated with third-party damages, these policies also comprise a Personal Accident Cover of ₹15 lakhs.

3.Affordable Premiums: The price of a third party insurance policy from Tata AIG is extremely pocket-friendly.

4.Hassle-free policy purchase process: The process to purchase or renew your third party insurance policy on our website is a simple and swift one. This way, you can save on the time it requires for you to buy or renew a third party vehicle insurance policy.

5.High Claim Settlement Ratio: With a claim settlement ratio of 98 per cent for motor insurance for the financial year 2020-2021, Tata AIG has reiterated its commitment to a swift and streamlined claims process.

One of the most important aspects of a third party insurance policy is the knowledge of the process of claims. There are two scenarios wherein you may have to file a third party insurance claim.

Scenario I - When your vehicle has caused damage to a third party

Here are the steps you must follow to file a third party insurance claim if your vehicle has caused any damage to a third party property or person.

1.Collect the evidence of the damage caused to the third party property or person. This proof can be in the form of photographs or videos.
2.Keep a note of the affected third party's name, address, and contact number.
3.Ensure that you have noted down the contact details of eyewitnesses to the accident if any.
4.Intimate your vehicle insurer about the accident.
5.File a First Information Report at the nearest police station.
6.File a plea at the relevant Motor Accident Claims Tribunal Court.
7.Gather all the necessary documentary evidence and follow the due process of the law.
8.Keep your insurer informed of the verdict of the aforementioned tribunal so that they can further process your vehicle insurance claim.

Scenario 2 - When your vehicle has been damaged by another vehicle

If your vehicle gets damaged by another's in an accident, then you can file a third party damages claim in the following manner.

1.Gather the relevant evidence of the damage sustained by your vehicle or body in the accident, using photographs and/or videos.
2.Make a note of the contact details of the party that has caused the damages to your vehicle.
3.Note down the contact details of any witnesses at the scene of the accident.
4.File a First Information Report at the nearest police station.
5.Follow the due course of law at the Motor Accidents Claims Tribunal Court.
6.Submit all the documents required by the aforementioned court and be present at all the sessions of the case.
7.Substantiate your case with the testimonies of eyewitnesses, if applicable.
8.Await the decision of the Tribunals Court for the award of the relevant damage claim to you.

Whilst raising a third party insurance claim, you must be mindful of a few things, such as:

1.You must file an FIR for an accidental claim: If your vehicle is the cause of an accident that has led to any third-party damages and/or injuries, then you must file a First Information Report at the nearest police station and report the incident.

2.Inform your insurance provider: Along with filing a First Information Report about an accident involving your vehicle, you must ensure that your insurance provider is informed at the earliest about the incident. This can lead to the timely initiation of the claims process.

3.The participation of the affected third party is required for the damage claim: It is important to remember that the affected third party is required to submit the necessary evidence pertaining to the damages caused to their property or person in an accident involving your vehicle. Only then can the process of a damages claim move forward.

4.Consider out-of-court settlement of minor damages: In the event of minor third-party claims, it is prudent to settle the damages with the affected third party out of court and on your own. This can help you save significant time by sparing you the need to go through a lengthy legal process.

5.There is no limit on liability for injuries to third party persons: If your vehicle has caused third-party injuries in an accident, then there is no ceiling on the amount that the affected third party can claim as damages. However, in the case of damages to third-party property, this ceiling is fixed at ₹7.5 lakhs.