This article will assume that you’ve been involved in a motor vehicle accident in Victoria, in which you were at fault in someway and that you wish to ask your insurer, with whom you have third-party insurance, to cover any damage to the other vehicle involved in the accident.

Third party car insurance car on a stand

What is third-party car insurance?

With third-party car insurance, you are covered in the event that you cause damage to another persons vehicle.

In the event that you caused an accident, if you damaged your own vehicle you will need to pay for the repairs yourself.

If you believe that another person caused or contributed to the accident, you may be able to recover costs from their insurance company or alternatively, them directly.

What’s the difference between third party and third party fire and theft?

Third-party covers you for damage you caused another persons vehicle.

Third party fire and theft covers you for the damage that you might cause to another vehicle, but also provides cover to you in the event that your car is damaged by fire, if it was stolen, or if it was damaged as a result of an attempted theft.

Generally speaking people usually only take out third-party insurance if you have a low value vehicle so that you are not left financially exposed to having to pay for the damage that your car might do to a more valuable vehicle or other property that belongs to another person.

How much damage am I covered for?

This depends upon the nature of your policy but generally speaking the coverage should be enough to cover any potential damage that you could cause.

For example, you might find that you are covered for mini millions of dollars (e.g. $20 million) which should cover you in all fathomable circumstances in which you could be involved.

One thing worth pointing out here is if you were not at fault in the collision and the other driver is an insured and you have third-party coverage, and if you’re able to provide their details to the insurance company, then some policies may cover you for a limited amount (e.g. $5000).

Does third party car insurance cover me if someone else is injured?

No, your third-party car insurance policy would not cover you if someone else suffers injury in the accident.

However, each state and territory has its own mandatory vehicle third-party insurance scheme in the event that someone stuff is an injury. In some states it’s known as compulsory third-party insurance.

However, in Victoria we have TAC coverage. You will be covered if you have registered your vehicle because when you pay your vehicle registration, a portion of that is for what is called the TAC charge. This is mandatory and covers you in the event of i’m on suffering injury.

Will my third party insurance policy cover me if I need my car towed?

This depends upon your policy but yes many policies will cover you. They will cover the cost of towing to a repairer or a safe place.

Will I be required to pay and excess on the claim?

Generally speaking, yes. If you pursue a claim under your third-party policy, you may be required to pay an excess which is a contribution towards the total cost of the claim.

Any excess should be listed on the policy.

What is not covered under a third-party policy?

Coverage for repairs to your vehicle in the event that you were at fault in the accident.

The cost of hiring a car after the accident if yours can’t be driven.

Fire and theft (if you did not option fire and theft at the time of taking out your policy)

Someone else was driving the vehicle am I covered under a third-party insurance policy?

This depends upon the policy but generally speaking a third party policy will cover a driver other than you, provided they had a valid drivers license.

Keep in mind that if they are under the age of 25 you may have to pay a greater access amount.

How do I make a third-party insurance claim?

You need to contact your insurer to make a claim.

You can telephone your insurer and let them know that you’ve been involved in an accident and wish to lodge a claim.

Some insurers will have online forms that you can fill out.

When lodging the claim, you should insure to have the following information to make things go smoothly as possible;

  • Your policy number
  • Details regarding the accident including the location
  • Details about the other people involved including their names, vehicle registration numbers and insurance details if know
  • The details of any witnesses and contact information for them
  • Police report number (if reported)
  • Details of any tow truck company that might of attended

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