Buying vehicle insurance is mandatory because it involves the customer to spare a few amounts of money in order to get financial coverage that would result in various benefits. Moreover, abstaining from purchasing the third party car insurance will make the individual land on the wrong side of the law. There is a very high need for getting third party car insurances done according to the Indian Motor Tariff Act. In case there is a road accident where an individual is at fault, he or she is liable to pay for the damage of the third party’s car and for his or her other physical injuries. If one does not have a third party car insurance, then he or she may have to pay the amount of money from his own pocket.
About the third party car insurance
A risk cover lets the insurance companies pay for all the liabilities of the third party, only when the vehicle of the insured is at a fault. What is noteworthy here is that this particular car insurance does not cover the insured or any damage to the vehicle. The third-party motor insurance policy covers death, injuries or even disabilities to the third party. It also covers damage to the property of the third party. Scroll down to know about the consequences of not having a third party car insurance.
Effects of not getting a third party car insurance
It is unlawful
By going with the law, it is seen as an offence to ply a vehicle that is uninsured. Third-party car insurance is also often known as an ‘act only’ insurance. It is highly required while purchasing a vehicle. People may not know but it is as important as having a driver’s license without which the car owner may get punished under the court of law. The penalty may include surrendering of his or her driving license, suspension of the vehicle registration and even imprisonment.
Financial coverage
If an individual is buying a vehicle, it will be very wise to get the third party car insurances immediately. That way, the car owner will not only save himself or herself from paying the compensation from his or her pockets but will also save himself or herself from getting imprisoned. Buying car insurances will ensure that the owner does not have to take the cost of compensating a third party as well as his own damages. However, buying cover insurance for own vehicle is not mandatory but getting a third party car insurance is highly necessary.
Living tension free
The owners of uninsured cars are exposed to different kinds of risks and monetary losses. If any of them get into an accident then they may have to pay the entire compensation for the losses of the third party. This amount of compensation is calculated considering different factors specific to the third party in the matter. The cost of compensation may get extremely high in situations and that is the reason why it will be wise to have a third party car insurance.
A car owner should, therefore, comply with the rules of the country’s laws. In this way, they can save themselves a lot of money and loss in case they get into a vehicle accident. The law lets them have insured by different insurance facilities and one must make good use of that. Thus, everyone driving a vehicle must adhere to the rules of safety and get a third party car insurance. However, to know more, one can click on https://www.turtlemint.com/car-insurance/articles/third-party-car-insurance.
