Home |Vehicle Insurance | What is the difference between 3rd Party and 1st Party Insurance ?

What is the difference between 3rd Party and 1st Party Insurance ?

Answer Notify Me - 1 Notifying - 2



Shailesh Kumar, Co-founder, Insurance Samadhan verified
Answered on October 08,2021

Ist party is you who are seeking insurance . Second party is Insurer , who is accepting the risk.

So when you drive a vehicle , you may cause damage to any third party property and there can be loss which need to be compensated .

As per Motor vehicle act , all vehicle must take Third Party liability insurance so that all third party damages are compensated .

Third party insurance has a limited liability of 7.50 lakh in case of property damage and unlimited liability in case of death .  The amount is decided through a Motor Vehicle Tribunal .

Hope this is clear .

Shailesh

Insurance Samadhan 

How would you rate the answer?


Excellent Good Neutral Poor Bad

Thank you for your response..

Clap Clap 0
Share Share Answer Share Share
Views 14 views
tesz.in
Hey , can you help?
Answer this question

    • Related Questions