How To Apply For A Third-Party Car Insurance Policy In India?

The automobile insurance market in India has two different types of policies to offer: comprehensive and third-party car insurance plan (also known as liability-only cover).

The latter offers financial assistance against any legal liability to a third-party if they have suffered losses in an accident involving the insured vehicle. A third-party motor insurance policy is mandatory under the Indian Motor Vehicles Act of 1988; any vehicle without such coverage will be apprehended and fined if used in commercial or private purpose.

These motor insurance policies extend their coverage to damage, injury, and even death to an individual. There is no specific limit imposed on the liability coverage for a third party, but reimbursements for damage sustained to a property is capped at Rs. 7.5 Lakh.

There are several financial institutions that offer these insurance policies in India. Companies like Bajaj Finserv even offer Four-Wheeler Insurance online, making it more convenient for applicants to apply or renew their plans according to their own convenience.

How to apply online?

The process to apply and avail a third party car insurance is hassle-free and time-saving. Let’s take a look.

  1. Visit the official website of your preferred insurer and navigate to the appropriate page. You will be asked to select your plan, after which you will be redirected to the next page.
  2. You will have to submit some basic details like your name, contact information, residential address, etc. in the application form. You might also have to submit details regarding your vehicle like its make, registration date, etc.
  3. After submission and approval of your application, you will be notified and asked to pay the premium towards your car insurance policy. Most organisations accept payments through various methods like net banking, credit and debit card, payment gateway, etc. Select a suitable payment option and make your payment.
  4. You will receive a confirmation showing that your application and policy have been accepted after they receive your payment.

Usually, third party car insurance schemes require minimum documentation as the vehicle itself is not insured under the policy.

Why avail third-party liability cover?

There are several reasons why vehicle owners should consider third-party liability cover for their vehicle.

Here are some of them:

  • Offers financial security – These policies act as a financial reserve for any unforeseen emergency. Automobile accidents can incur serious property damage, including severe injury and even death in extreme situations. A third-party four-wheeler insurance policy provides reimbursement for any financial loss that the insured individual may sustain for an accident.
  • Wide coverage – Most insurance policies offer extensive coverage against any damage a third-party individual may witness during a car accident. A motor insurance policy from Bajaj Finserv covers any financial loss incurred due to damage to property, hospitalisation, injury, loss of income, death or any such incident caused by a third party.
  • Quick claim settlement – The claim settlement process is relatively quick as the insurer requires no additional documents to process a settlement request. You only have to contact the insurer immediately after an accident.
  • Affordable premiums – Premiums for third party car insurance plans are usually lower than other types of policies. It is an affordable option for anyone who wants to secure themselves against an accident.
  • Add-ons and upgrades – Customers can enjoy the option to purchase add-on protection on top of their original insurance policy to extend its coverage limit. They can also purchase upgrades like personal accident cover in order to protect the driver financially in case he or she faces an accident.

A simple online application process, quick approval and claim settlement, and a wide coverage makes these insurance policies one of the most popular four-wheeler insurance schemes in India. You can apply to any financial institutions following the simple steps mentioned above.