Third Party Truck Insurance
Third party truck insurance provides third party liability coverage to the policyholder due to an accident of the insured truck. It is designed to relieve the truck owner from the financial burden of paying compensation to third parties for causing damages and injuries during a road accident.Read more
What is Third Party Truck Insurance?
Third party truck insurance is a type of truck insurance policy that only provides coverage for third party liabilities of the truck owner. It covers vehicle damages, property damages and physical injuries to third parties in an accident caused by the insured truck. However, this type of commercial vehicle insurance policy does not cover own damages sustained by the truck.
Key Features of Third Party Truck Insurance
Take a look at the key features of a third party truck insurance policy:
- Third Party is the Beneficiary – Under a 3rd party truck insurance policy, the affected third party is the beneficiary. In case of a claim, the motor insurance company pays compensation directly to the affected third party and not to the truck owner.
- No Own Damage Cover – This truck third party insurance does provide coverage for any loss or damages sustained by the insured truck during the accident. In case the policyholder wants the truck damages to be covered, he/she needs to opt for a comprehensive policy.
- Fixed Premium Price – In India, the third party truck insurance cost is fixed by the Insurance Regulatory & Development Authority of India (IRDAI) and does not vary as per the cost of the truck.
- Lawyer’s Fees Covered – This policy will cover lawyer fees incurred by the policyholder in case the insured truck causes bodily injuries to the third party and the compensation amount has to be decided by the Motor Accidents Claims Tribunal.
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What is Covered Under Third Party Truck Insurance?
A third party truck insurance policy covers the following:
- Third Party Physical Injuries – It covers any physical injuries of the third party caused by the insured truck during a road accident. The liability of the insurance company is unlimited for this cover.
- Third Party Property/Vehicle Damages – It covers any loss or damages to the vehicle or property of the third party in a road accident caused by the insured truck. The insurer’s liability for this cover is limited to Rs 7.5 lakh.
- Personal Accident Cover – It covers the owner-driver of the truck against injuries, disability or death caused during an accident of the insured truck. In India, a personal accident cover of Rs 15 lakh is mandatory for all truck owners.
What is Not Covered Under Third Party Truck Insurance?
The following loss or damages are not covered under the third party truck insurance policy:
- Own Damages to the Insured Truck – It does not cover any damages sustained by the insured truck during an accident.
- Drunk Driving – It does not provide coverage for third party liabilities if the truck driver was driving under the influence of alcohol.
- Contractual Liabilities – It does not cover any property damages or injuries to a third party resulting from any contractual liabilities of the truck owner.
- Driving without a Valid License – It does not provide third party liability coverage if the truck driver was driving without a valid driver’s license.
- Unauthorized Usage – It does not cover any third party property damages or injuries while the truck was being used for racing or speed testing.
- Driving Without a Valid License Holder – It does not cover third party liabilities if the truck driver had a learner’s license and was driving without a valid license holder in the front seat.
Benefits of Buying a Third Party Truck Insurance Policy
Here are some of the amazing benefits of buying a third party truck insurance policy:
- Covers Third Party Liabilities – This commercial vehicle insurance policy provides coverage for third party accidental liabilities arising out of the insured truck. Thus, the policyholder does not have to worry about paying compensation to the third party in case of a truck accident.
- Prevents Financial Losses – In case an accident of the insured truck leads to the death of the third party, the compensation amount can go up in crores depending on the victim. Paying crores of rupees as compensation can deplete your savings immensely. But with 3rd party truck insurance, the compensation amount will be paid by the insurance company irrespective of the amount.
- Fulfils Legal Mandate – In India, third party insurance cover is mandatory for all trucks as per the Motor Vehicles Act, 1988. Thus, this policy helps the truck owner to fulfil the legal mandate as a violation of this law can lead to a penalty or jail sentence.
- Affordable Cover - The third party truck insurance cost is lower than that of a comprehensive policy. Hence, third party insurance covers a truck for an affordable premium.
- Ensures a Peaceful Drive – Buying a third party cover for a truck ensures a peaceful drive as the driver does not have to worry about meeting an accident and facing a major financial setback.
How to Buy a Third Party Truck Insurance Policy Online?
The process of buying truck third party insurance is pretty easy. Follow the steps given below to buy 3rd party truck insurance online:
- Visit the official website of Policybazaar Insurance Brokers Private Limited
- Go to the ‘Insurance Products’ tab on the menu bar and select ‘Commercial Vehicle Insurance’
- Enter your name and mobile number in the available form to view insurance quotes
- Choose ‘truck’ under vehicle type and select the make, model & variant of your truck
- Select the registration year and the RTO of your truck
- Choose the ‘public carrier’ under the vehicle carrier type
- You will view third party insurance quotes for your truck from multiple insurers.
- Choose the most suitable plan and provide the required details
- Pay the third party truck insurance cost online
- The insurance company will issue the policy after successful payment.
Third Party Truck Insurance Renewal Process
In case of third party truck insurance renewal, follow the steps given below:
- Go to the ‘Commercial Vehicle Insurance’ page on Policybzaar.com
- Fill in your contact details to view the renewal quotes
- Provide the details related to your truck, such as make & model, registration year, carrier type, etc.
- Select the expiry date of your existing truck insurance policy
- Choose if you have raised any claim in the previous year
- Third party truck insurance quotes will be displayed from multiple insurers
- Choose the best-suited plan and pay the premium online
- The third party truck insurance renewal will be done upon successful payment.
How to Raise a Third Party Truck Insurance Claim?
To raise a third party truck insurance claim, follow the steps given below:
- File an FIR as soon as your truck meets with an accident and causes third party damages
- Inform the motor insurance company about the accident as soon as possible
- A surveyor will come on behalf of the insurer to review damages or injuries caused to the third party.
- Submit all the required documents to the insurance company
- The claim will be settled on the basis of the survey report and other documents.
- In case the third party is severely injured, the insurer will represent you at the Tribunal.
- After the verdict, the insurance company will pay compensation to the third party as decided by the Tribunal.
Documents Required to Raise a Third Party Truck Insurance Claim
Here are some of the documents required to raise a third party truck insurance claim:
- Claim form
- FIR/ charge sheet
- Truck insurance policy copy
- Driving license of the driver
- Registration certificate of the truck
Things to Keep in Mind While Raising a Third Party Truck Insurance Claim
Take a look at the things that the policyholder must keep in mind while raising a third party truck insurance claim:
- In case of third party injuries or damages, the FIR has to be filed by the affected third party.
- Do not forget to inform the insurance company as soon as an FIR is filed.
- The third party needs to have proof of the truck driver being at fault.
- Avoid raising a third party truck insurance claim in case of minor damages as the whole process can be time-consuming.
- Remember that the insurance company is liable to cover third party accidental injuries caused by the insured truck no matter how big is the claim amount. This is because the insurer’s liability for this cover is unlimited.
Ans: Yes, you can buy any commercial vehicle insurance online on Policybazaar.com. All you need to do is enter a few details of your truck and pay the commercial vehicle third party insurance rate online.
Ans: Yes. You can use a commercial vehicle insurance premium calculator online on Policybazaar.com to check the premium of various third party truck insurance plans online.
Ans: You may be able to buy third party truck insurance on EMI if your insurance company offers this facility. It is best to check with your insurer if they allow the payment of truck insurance premiums in instalments.
Ans: The best commercial vehicle insurance company may vary from one truck to another. This is because a single policy cannot fulfil the insurance requirements of all truck owners in India. Therefore, you must compare different truck insurance plans online to buy the policy that best suits your needs.
Ans: In case you do not buy a 3rd truck insurance policy, you will violate the motor laws of the country. In case the traffic police catch your truck without third party insurance, you will be liable to pay a hefty fine or face jail imprisonment or both.
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