Can I Claim If I Have a Third-Party Fire & Theft Insurance Policy?

Road Traffic Accidents: Fault, Liability, and Insurance Coverage

Accidents can occur at any time, and depending on who is responsible for the incident, the way your insurance handles the claim will vary. Below is an explanation of how fault is determined in road traffic accidents and the different types of insurance coverage available in the UK.

What Happens If the Accident Is Your Fault?

When you’re involved in an accident that is your fault, your insurance company will typically cover the expenses related to the accident, including vehicle repairs and medical treatment for other parties involved, depending on your insurance policy. However, if the accident was caused by your negligence and no other vehicles were involved, you might not be able to make a claim for compensation, as there is no third party to claim against.

In cases where the accident is entirely your fault, you cannot claim for damages to your own vehicle. You will be responsible for covering the repair costs out of your pocket.

Contributory Negligence or Split Liability

In some accidents, both parties may share responsibility. This is known as contributory negligence or split liability. For example, if two drivers are partially at fault for an accident, both insurance companies will agree on a percentage split of liability. This allows you to make a claim, even if you’re partially responsible, though the settlement will be adjusted based on your level of liability.

How Is Liability Determined?

Deciding who is liable for an accident can sometimes be straightforward, but in other cases, it may be more complex. The version of events provided by each driver and any available evidence, such as witness statements, CCTV footage, or police reports, will help determine liability. If you’re unsure about the circumstances of the accident or need help making a claim, contacting an accident management company or legal advisor can provide guidance.

What Is Third-Party, Fire, and Theft Insurance?

In the UK, car insurance is mandatory, and third-party insurance is the minimum required level of coverage. However, third-party, fire, and theft insurance provides additional protection in case your vehicle is damaged by fire or stolen. This type of insurance is a step up from basic third-party insurance but still doesn’t offer the comprehensive coverage of a fully comprehensive policy.

What Does Third-Party, Fire, and Theft Insurance Cover?

1. Third-Party Coverage:
   
   
   • If the accident is your fault, this insurance will cover:
     • Repairs to third-party vehicles or property damaged in the accident.
     • Medical treatment and injury compensation for other people involved in the accident.
       
       
2. Fire:
   
   
   • If your vehicle is damaged by fire, either deliberate or accidental, your policy will cover the repair costs.
     
     
3. Theft:
   • If your vehicle is stolen and cannot be recovered, your policy will help pay for a replacement vehicle.
   • It will also cover the repair costs if your vehicle is damaged after being stolen.
     

What Does Third-Party, Fire, and Theft Insurance NOT Cover?

1. Vehicle Damages (Your Vehicle):
   • If you’re liable for an accident, this policy will not cover repairs to your own vehicle. You will have to pay out-of-pocket for your own vehicle’s repairs.
     
     
2. Damage to Personal Possessions:
   • The policy does not cover damages to any personal items inside the vehicle during an accident.
     
     
3. Medical Costs for Your Injuries:
   • If you’re injured in an accident, this insurance does not cover your medical treatment.
     
     
4. Accidents When the Vehicle Is Unlocked:
   • If your vehicle is stolen because it was left unlocked, your insurance will not cover the loss.
     
     
5. Driving Other Vehicles:
   • Third-party, fire, and theft insurance typically does not cover you for driving other vehicles. For that, you would need separate insurance or a clause in your policy allowing for it.
     

Third-Party, Fire, and Theft Insurance for Motorcycles

This type of insurance also applies to motorcycles, covering third-party liability as well as protection in case the motorcycle is stolen or damaged by fire. However, if you’re involved in an accident, whether it’s fault or non-fault, the damages to your motorcycle will not be covered by the insurance, and you will need to pay for repairs out of pocket.

Frequently Asked Questions (FAQs)

What are the disadvantages of third-party insurance coverage?

• Third-party insurance only covers liability for damage to other vehicles or property, not your own vehicle’s damages or theft. It doesn’t cover personal injury or damages caused by natural disasters.

Does third-party, fire, and theft cover vehicle damages?

• No, it only covers damages caused by fire or theft. It does not cover damages from accidents that are your fault.

What is the difference between third-party cover and third-party, fire, and theft cover?

• Third-party insurance only covers damages to others’ property and injuries caused by you. Third-party, fire, and theft include additional coverage for fire damage and theft but still don’t cover your own vehicle’s damages in an accident.

What will happen to my credit score when I apply for vehicle insurance?

• Insurance companies may perform a credit check to verify your information when you apply for a policy. If you make payments through financing, how you manage payments could affect your credit score.

How can I check if my vehicle is insured?

You can check if your vehicle is insured using the Motor Insurance Database (MID). This database keeps a record of all insured vehicles in the UK.