What are the compulsory insurances?
What is Compulsory Third Party Insurance (CTP)? CTP insurance covers compensation payments for people injured or killed in a motor vehicle accident. It doesn't cover the cost of damaged vehicles and property, or damage to – or loss of – your vehicle.
Why is Indian insurance compulsory?
These accidental mishaps can sometimes be devastating for you, your family and other third parties. It can leave you and the others, involved in the accident, financially strained and distressed. Hence, the government of India made it mandatory for vehicle owners to buy at least a Third-Party Car Insurance.
Is 3rd party insurance compulsory in India?
Yes, third party motor insurance is mandatory for two-wheelers and four-wheelers in the country. This mandate has been set by The Motor Vehicles Act, 1988.
Is it compulsory to do insurance?
In India, and all over the world, getting your car insured is a compulsory by law, not an option. The Motor Vehicle Act of 1988 makes it mandatory for all vehicle to be covered under an appropriate insurance policy before they can ply on the road.