You should consider getting compulsory third party insurance, though it’s different from car insurance.
In a case where you may want to make a claim, a comprehensive car insurance policy can help you fill the gaps that you can’t get with compulsory third party insurance.
This can include damage to your car or even another person’s property or car, damage to your car due to attempted theft, and car theft.
Regardless of whether it’s a minor or major car accident, you can save tons of money by having car insurance besides compulsory third party insurance.
By now you may be wondering what this compulsory third party insurance is all about. This article discusses compulsory third party insurance.
Understanding compulsory third party insurance
Simply put, compulsory third party insurance also commonly known as green slip refers to the policy that covers against medical costs you can be responsible for when you are involved in a car accident.
Compulsory third party insurance can also cover the driver who suffers personal injuries.
This can happen if you were not at fault, at fault or partially at fault, though this depends on the state where the accident happened.
In most cases, compulsory third party insurance helps you to make sure that everyone injured in a car accident can receive the medical treatment or even any other assistance they need.
It protects you from paying claims that are made against you in case you injure another person on the road.
Remember that compensation for third parties tends to be costly, so compulsory third party insurance makes sure that you don’t have to pay your money.
It’s worth noting that compulsory third party insurance doesn’t cover any damages to cars or property.
This is the reason why it makes sense to have comprehensive car insurance that offers you cover for other people’s property or cars and your car.
The level of coverage
Keep in mind that compulsory third party insurance as the name suggests is a must to have it in all territories and states.
In some states, they automatically tack it on your rego to make sure that you remember it. Also, you need to pay compulsory third party insurance every year.
But if it expires, then consider doing Youi green slip renewal immediately. Other states also allow you to purchase it separately from insurance.
Aside from this, what is covered in compulsory third party insurance tends to vary from state to state.
Some of the things that can vary include liability, fault, injury, and compensation. In most cases, these factors can depend on where the car accident happens regardless of where you registered your car.
For instance, at fault drivers can be eligible for compensation in some states which may not apply in other states.
As you can see, it makes sense to familiarize yourself with the local compulsory third party insurance regulations.
If you are not sure how to get compulsory third party insurance, you need to consult any reputable insurance company for advice.