3rd Party Insurance Price For Bike

What is Third Party Insurance?

Third party insurance is a type of insurance policy that provides financial cover for any legal liability resulting from an accident caused by the insured vehicle. It is a basic form of insurance that is compulsory for all motor vehicles as per Indian Motor Vehicle Act 1988. This type of insurance covers third party liabilities such as property damage, bodily injury or death of a third party caused by the insured vehicle. It does not provide any coverage for the losses incurred by the insured vehicle.

How Does Third Party Insurance Work?

Third party insurance works by providing financial cover for any legal liability resulting from an accident caused by the insured vehicle. This type of insurance covers third party liabilities such as property damage, bodily injury or death of a third party caused by the insured vehicle. It does not provide any coverage for the losses incurred by the insured vehicle.

The insurance company will pay for the damages caused to the third party, up to the limits of the policy. The policyholder is required to pay any additional costs or damages that exceed the limits of the policy.

What is Covered by Third Party Insurance?

Third party insurance covers the following third party liabilities:

1. Property damage: This covers damage to the property of a third party as a result of an accident caused by the insured vehicle.

2. Bodily injury: This covers medical expenses incurred by a third party as a result of an accident caused by the insured vehicle.

3. Death of a third party: This covers any expenses incurred as a result of the death of a third party as a result of an accident caused by the insured vehicle.

What is Not Covered by Third Party Insurance?

Third party insurance does not cover any of the following:

1. Damage to the insured vehicle: This type of insurance does not provide any coverage for the losses incurred by the insured vehicle.

2. Medical expenses of the insured: This type of insurance does not provide any coverage for the medical expenses of the insured.

3. Loss of use of the insured vehicle: This type of insurance does not provide any coverage for the loss of use of the insured vehicle.

4. Personal property in the insured vehicle: This type of insurance does not provide any coverage for the personal property in the insured vehicle.

What is the Cost of Third Party Insurance For Bike?

The cost of third party insurance for bike depends on various factors such as the age of the bike, its make and model, its location, etc. Generally, the premium of third party insurance for bike is lower than that of comprehensive insurance. The premium of third party insurance for bike ranges from Rs. 300 to Rs. 2,000 per annum.

Conclusion

Third party insurance is a basic form of insurance that is compulsory for all motor vehicles as per Indian Motor Vehicle Act 1988. It provides financial cover for any legal liability resulting from an accident caused by the insured vehicle. The cost of third party insurance for bike depends on various factors such as the age of the bike, its make and model, its location, etc. It is important to compare the premiums of different insurance companies before buying a policy to get the best deal.