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What is insurance against third party risk


Third-party insurance offers protection against damages to the third-party by the insured vehicle. It covers physical injuries, damages to the vehicle, damage to the property, and death. Exclusions. Third-party insurance does not provide any compensation, if: The accident was caused due to drunken driving.

What is third-party risk in insurance?

Third-Party Risk — the risk of losses to third parties, usually insured under casualty or liability insurance.

What is meant by a third-party insurance?

A third-party claim is a claim filed by someone other than the policyholder or insurance company. If you're in a car accident that someone else causes, you can file a third-party claim with the other driver's insurance for your covered accident-related expenses.

What are two types of third-party coverage?

The two main categories of third-party insurance are liability coverage and property damage coverage.




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