Car Insurance Policy Types


When looking around for the best deal on car insurance, remember that there are three main types of cover to choose from – third party, third party fire and theft and fully comprehensive cover. To legally drive a car on a public road in the UK, third party insurance is the minimum level of cover you need.

Third Party Cover


Third party cover is the most basic cover on offer and is the minimum required by law to drive on public roads in the UK. Third party insurance provides cover for any damage or injury you cause to another person, their car or their property, and for which you are responsible. Typically third party cover is the cheapest option and is best suited for drivers with low value cars, or young drivers trying to keep the cost of insuring their car for the first time to a minimum.

Third party insurance will not cover the costs of any damage to your own vehicle or medical expenses. Nor will you be covered if the vehicle is stolen or vandalised. For these reasons, traditionally third party insurance cover will be the cheapest cover available. Serious consideration should be taken when choosing this type of policy as it may be worth paying a little extra to improve your level of cover depending on the value of your car.

Third Party Fire and Theft Cover


If you’re looking for a better level of cover for your vehicle than third party insurance offers, you may want to consider third party fire and theft. As the name suggests, this is almost identical to third party insurance but will also cover you in the event that your car is stolen or damaged by fire. Do not always assume that this level of cover will be the mid-price option so it is often worth checking the price for comprehensive cover and weighing up the pros and cons of each option and their price.

Fully Comprehensive Cover


If you want to protect yourself against all eventualities, your best option is to consider Fully Comprehensive Cover. It is often the most expensive of the three types but will protect you for any costs incurred to your own vehicle due to an accident, fire or theft. It will also cover all costs for another persons property should you be at fault in an accident.

Before taking out a comprehensive policy, it is worth checking what options each insurer offers. Some may allow you to drive another persons car, include breakdown assistance, cover legal costs or allow you to drive your own car abroad. Some insurers may charge extra for these kind of options so make sure you know exactly what you are covered for when taking out any policy.