Motor insurance covers loss or damage connected to a vehicle, and liability for harm to other people. In India, third-party liability cover is a legal requirement for motor vehicles used on public roads.
A third-party policy covers legal liability to others. A comprehensive policy also covers damage to the insured vehicle, within its terms. Optional add-ons can widen the cover, and the insured declared value (IDV) is the figure a claim for total loss is based on.
No-claim benefits, deductibles and exclusions vary between policies and are set out in the policy document. Typical exclusions include driving without a valid licence and damage from wear and tear, which is why reading the exclusions matters as much as reading the benefits.
Dhimson Cover provides general information only. We do not sell, arrange, compare or recommend any policy. For advice about your own circumstances, speak to a suitably licensed professional.
Key points
- Third-party cover is a legal requirement for motor vehicles on public roads
- Third-party and comprehensive policies cover different things
- Insured declared value (IDV) and add-ons affect what a claim can pay
- No-claim benefit, deductibles and exclusions are in the policy document
- Cover can lapse if a policy is not renewed on time
General information only — not financial, legal or tax advice. Dhimson Cover does not sell, arrange, compare or recommend any product. Rules, terms and conditions differ between providers and change over time, so always read the provider's own documents or the official source.