What is Third-Party Only Car Insurance?

You can buy third-party only car insurance in South Africa, but most people purchase comprehensive cover instead, as it is much more expensive. However, third-party only car insurance in South Africa is still important, especially if you plan on leasing your car or buying it without any financial assistance. Not only does driving without car insurance pose huge risks, but it can also lead to hefty financial penalties. Insurance companies representing other vehicle owners can sue you and attach your assets to recover their costs.

Third-party cover will protect you against the crippling costs of damage to someone else’s property. However, the cover is limited only to South Africa, outside South African borders you will not enjoy the cover. Many companies offer extra insurance to protect you from this kind of risk. Make sure you read the fine print carefully when choosing your insurance. It’s important to understand what’s included in your policy so that you don’t end up with a policy that covers only your car.

Third-party only car insurance in South Africa isn’t mandatory, but the South African Insurance Association (SAIA) is campaigning to make it mandatory for all vehicle owners in the country.

What is Third-Party Only Car Insurance?

It is a basic and more reasonable type of plan that covers the damages that you cause to another motor in the possibility of a car accident. Every insurer in South Africa has its own Third-party only offers and premiums. It is a good idea to gather a few offers and compare the advantages and quotes. While costs differ from company to company, the cost of repairs is normally fully covered minus your excess. If your car is damaged through your own fault, you will have to cover the repair or replacement costs yourself. Third-Party Car Insurance covers only the costs of your car causing damage to another vehicle.

It is the cheapest option among the three types of car coverage plans. The other two are known as:

  • Third-party only with fire and theft cover
  • Comprehensive cover

If you want to find out more about these too, then click their link and read more on each one’s page.

Even though Third-party only cover is the cheapest, it is better than having no cover. It will at least help you cover the third parties damages and you do not have to do it out of your budget. No one budgets for damages done to another person’s property. View our home page for more information.