In India, the Motor Vehicles Act, 1988, makes it mandatory that every vehicle driven in India should have a valid insurance to ply on the roads. All vehicles used for personal, business or social purposes should be insured. The third party motor vehicle cover, which is also commonly referred to as ‘act only’ or ‘third-party’ cover is a statutory requirement in which the beneficiary is someone else other that the two contractual parties. The policy only covers the insured’s legal liability for damage on a third party’s property and death or disability or of a third party. Below are five important facts everybody should know about third party motor vehicle insurance. – See more…
