Repercussions Of Not Having A Third -Party Car Insurance Cover

Until you collide with another driver’s car and have an accident, taking your car out for a spin with your loved ones is fun and games. Purchasing proper car insurance coverage is advantageous since it protects you from the financial damages brought on by such occurrences.

Continue reading to learn the consequences of breaking the law and operating a vehicle without an active auto insurance policy on Indian roads.

Explained: Third-party auto insurance

Third-party liability and comprehensive coverage are the two primary categories of auto insurance policies. A third-party auto insurance policy provides coverage for any harm your vehicle may cause to a third party or their property. A comprehensive policy, on the other hand, is an exhaustive insurance coverage that includes both third-party liability and own damage coverage.

Purchasing third-party auto insurance is a must.

By purchasing insurance, you may be sure that you will be supported financially in the event of unforeseen circumstances. All you need to do is do a simple car insurance check online. However, it is entirely up to you whether or not you want to get the right comprehensive insurance coverage and shield your car from harm. A third-party liability insurance policy must be purchased in accordance with the Motor Vehicles Act of 1988. This mandate has been implemented to encourage responsible behaviour, safe driving, and the assumption of responsibility for any harm caused to oneself, another person’s person or property, or both. *

What happens if you don’t purchase third-party automobile insurance?

If you’re still of the opinion that you don’t need third-party auto insurance, here’s everything you should know to learn the consequences of breaking the law.

First off, not purchasing car insurance puts your hard-earned cash in danger. No matter how reliable your driving abilities are, nothing is predictable. You will be responsible for paying the repair expenses if you are driving an uninsured vehicle and are in an accident that damages a third party.

Imagine having to pay a significant amount out of your very own cash to fix someone else’s car. It does not sound like a very pleasant concept, and it will definitely drain your bank account. In contrast, the insurance provider will cover almost all the repairs if your vehicle is protected. Furthermore, depending on the add-ons & other inclusions you have on your plan, the cost to service would be even lesser. *

Accidents also raise ethical questions –  who was really at fault, was any of the parties driving under the influence of alcohol, was it a product of negligence, and many such questions. If so, your insurance company will also monitor the situation, gauge what happened and then take the proper decision because it will affect the payout. *

Furthermore, having a current auto insurance policy is just as crucial as having a legal driver’s licence. If you don’t have one and the police ever happen to catch you, they will definitely fine you or, even worse, jail you.

As a matter of fact, driving an uninsured vehicle is punishable by up to three months in jail and/or a fine of Rs 2,000 under the terms of the Motor Vehicles (Amendment) Act, 2019 for a first offence. The punishment has been increased to Rs. 4,000 for the second offence, and/or a three-month jail sentence is also an option. *

Get your automobile insured instead of risking legal issues for not having a policy; think of it as a bit of investment. All that’s left to do is visit the website of the general insurance provider and fill out the form to get a quote. When you opt to buy or go for car insurance policy renewal online, everything is as easy as clicking a few buttons.

* Standard T&C Apply

‘Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms, and conditions, please read the sales brochure/policy wording carefully before concluding a sale.‘

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