Third-party car insurance online
Third-party car insurance online
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Home / Motor Insurance / Car Insurance / Third Party Insurance

Third Party Car Insurance

Third Party  Car Insurance

Third party car insurance provides coverage for damage to a third party property or person due to the policyholder’s vehicle. Third party insurance covers cost only for third party liabilities and not for the damage done to your own vehicle. The coverage for third party liabilities can be third party vehicle/property damages, disability and death. As per the Motor Vehicles Act of 1988, third party car insurance is a mandatory cover, and driving without it can land you up paying hefty fines to RTO.

A car insurance policy consists of three parties - the First Party or the car owner who purchases the car insurance policy. Second Party or the motor insurance company that provides financial support in exchange for a car insurance premium. Third Party or any other person who may get injured or whose property may get damaged by the policyholder's car in an accident. Hence, third party car insurance covers third party liabilities caused by the policyholder's car. With a third party car insurance policy, you can also buy a personal accident cover worth ₹15 lakhs.

How does Third Party Car Insurance Work?

When you buy a new car or if you have an existing car, you are required to buy the third party insurance cover too. Once you buy the cover, it covers your financial liabilities against third parties. If there is an accident wherein a third party, i.e., an individual other than you, suffer any financial damage, the third party cover would compensate the individual for the loss.

The coverage works in the following scenarios–

• An individual is physically injured due to the car

• An injured dies in an accident involving your car

• Your car damages a third party property

In either of these cases, you would have to inform the insurance company of the claim. The insurance company would handle your financial liability and compensate the third party for the financial loss that they might have suffered.

Inclusions & Exclusions of Third Party Insurance

Covered in Car insurance policy - Personal accident

Personal Accident

Your safety is our priority; we cover your treatment charges in case of injuries due to a car accident.

Covered in Car insurance policy - third party liability

Third Party Liability

Caused injury to another person? We cover the medical needs for injuries sustained by a third party person.

Covered in Car insurance policy - Third Party Property Damage

Third Party Property Damage

Collided with a third party vehicle or property? We cover up to Rs 7.5 lakhs for third party property damages.

Features & Benefits of Third Party Car Insurance

Key Features Benefits
Premium Starts @ ₹ 2094*
Buying Process Buy Third party insurance online within minutes with HDFC Ergo
Claim Settlement Experience quick and easy claim settlement process with dedicated team.
Personal Accident Cover Up to ₹15 lakhs~*
Did you know
Not having a Third Party Insurance policy can leave you vulnerable to risks in turn causing huge financial losses!

Comprehensive vs Third party Car Insurance Cover

Damages/ Lossed Caused Third Party Insurance Comprehensive Car Insurance
Damages to vehicle due to accidents Excluded Included
Losses due theft of car Excluded Included
Losses due natural disaster Excluded Included
Damages to third party vehicle and property Included Included
Death of a third party due to accident Included Included
Personal accident cover(if opted for) Included Included

Third Party Insurance Premium Rate

IRDAI determines the third party car insurance premium. The premium rate differs as per the car’s engine cubic capacity.

Engine Capacity TP Premium for Renewal of existing vehicle (Annual)* TP Premium for New Vehicle(3 Years Policy)
Less than 1,000cc Rs. 2,094 Rs. 6,521
Above 1,000cc but less than 1,500cc Rs. 3,416 Rs. 10,640
More than 1,500cc Rs. 7,897 Rs. 24,596

Why choose HDFC ERGO for Third Party Car Insurance?

Here are some reasons to choose HDFC ERGO third party car insurance policy ;

• Affordable premiums starting at Rs.2094

• Quick online purchases

• Quick and easy claim settlements with the help of a dedicated team

• 6700+ cashless garages pan India

Who Should Buy Third Party Car Insurance?

Every car owner must have a third party car insurance policy as per the Motor Vehicles Act of 1988. However, it only covers third party liabilities and does not provide coverage for its own damage. Let us see for whom third party car insurance is ideal:

• For vehicle owners whose vehicles are always parked and hardly move out.

• Third-party car insurance is ideal for very old cars, including vintage cars.

How to Buy Third Party Car Insurance Online?

The below steps will guide you through buying third party car insurance online.

  • Step 1-  Visit our Website HDFCErgo.com
    Step 1
    Visit HDFCERGO'S official website
  • Get Car Insurance Quotes
    Step 2
    Enter your car registration number and click on ‘Get Your Quote’. Or proceed by clicking on 'Proceed Without Car Number'.
  • Step 3 - Enter your details
    Step 3
    Enter your details (Name, Mobile Number and Email Id). All the quotes in your category will be visible on your screen.
  • Car Insurance Plan
    Step 4
    Select the policy that suits your needs and price point.

Advantages and disadvantages of Third Party Car Insurance

Advantages Disadvantages
It is affordable.

It costs less than a comprehensive car insurance policy but

offers coverage for only third party damages.

Financially protect the policyholder in case of death or disability

of the third party and in case of damage to

the third party property or vehicle.

In the event of an accident, third party cover would not protect you

from the damages that occurred to your vehicle or to yourself.

 

There won’t be any legal action taken against you,

if you drive vehicle with third party car insurance. 

If your car gets stolen or burnt due to a fire, you will not get any

coverage with this cover.

 

Factors That Affect Your Third Party Car Insurance Premium

Your third party car insurance premium is fixed by the Insurance Regulatory and Development Authority of India (IRDAI). However, it depends on the following factors –

1

The engine capacity of your car

The premium of a 3rd party insurance coverage depends on your car's engine capacity. It starts at Rs.2094 if your car's engine capacity is up to 1000cc. For higher engine capacities, the premium increases. So, the higher the car's engine capacity, the higher the premium you have to pay.
2

Tenure of the policy

If you buy a brand new car, you have to buy third party insurance cover for a mandatory period of three years. This long-term coverage means higher premiums since you have to pay the premium for the next three years in one lump sum.
3

IRDAI reviews

The IRDAI makes annual reviews of the third party premium. Following every review, the premium might increase or decrease. So, your premium would depend on the latest revised premiums affixed by the IRDAI.

Calculate Third Party Car Insurance Premium Online In Just One Click!

HDFC ERGO offers an online premium calculator that helps you calculate the premium for your third party car insurance policy in just one click.
So, open the calculator, provide your car's engine capacity and calculate the third party car insurance premium you have to pay. It is as simple as that!

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Third Party Car Insurance Reviews & Ratings

4.4 Stars

car insurance reviews & ratings

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View all 1,58,678 Reviews
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I got a quick response from the HDFC ERGO Team for roadside safety assistance for a flat tyre. I appreciate everyone's help with the quick turnaround on this.
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Your customer executive was extraordinary – and knowledgeable. I appreciate the patience and polite nature of your customer care executive. I have retired recently after working 50 years in marketing, including 20 years as CEO of a Swiss company in Dubai. I can say that I have the best customer service experience with HDFC ERGO. God Bless HDFC ERGO!
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Your services are amazing, and your team is excellent in answering and guiding and us. I am satisfied with your services and expecting the same in future also. Thank you.
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Your team has done an excellent job in settling my claim on time. I really appreciate your claim team's effort.
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Buying the car insurance policy from HDFC ERGO was the best experience I had till now for getting an insurance policy for my vehicle. I am very impressed by the customer care service team of HDFC ERGO. Your customer care executives are very cooperative and give a clear understanding of the policy. Apart from that, they guide you from start to end. Therefore, I am happy to choose HDFC ERGO to buy my vehicle's car insurance policy.
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The way your customer care executive managed the call was quite impressive. Keep up the good work!
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Interacting with your customer care executive was an excellent experience. They solved my issues in one single call. If I need any other insurance, I will return to HDFC ERGO.
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HDFC ERGO team is good in communication and also quick in taking action.
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I want to thank the HDFC ERGO customer care team, who are very cooperative in solving the query. I am very interested in renewing the car insurance policy in future also with HDFC ERGO. Once again, thanks for your valuable support.
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It was a great experience. I could have got cheated by the local service provider but your confirmation of the exact amount credited to the service center helped me debate and get the full credit of the amount approved. I paid the balance and got my car picked up. A big thank you for transparency and promptness
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I am much impressed by your call centre executives' excellent talk and gracious behaviour. The way they attended my call, guided me on the phone and helped me get my vehicle insured deserves appreciation and gratitude.
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Your team has cleared my doubts and helped to select the best package for my vehicle. Remarkable job by your call centre team. Keep up the excellent work.
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HDFC ERGO customer care team gave me reasonable assistance in getting this policy done. Your team has made lots of effort to explain the details of the add-ons, which helped to get them added to the policy. Appreciate the support in ensuring that the variant is added to the portal.
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Frequently asked questions


As per the new rule, purchasing a three-year bundled third party car insurance is mandatory if a person buys a new vehicle. However, existing car owners can continue to buy third party insurance cover having a validity of only one year.

Awards & Recognition

Last updated: 2023-02-20

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