Third Party Property Damage Vehicle Insurance and Compulsory Third Party Insurance
The Difference Between Third Party Property Damage Vehicle Insurance and Compulsory Third Party (CTP Greenslip) Insurance
Understanding what you're covered for, when choosing your motor vehicle insurance will help you avoid unforeseen costs, so it is essential to have the facts to make an informed decision.
What is Compulsory Third Party Insurance (CTP)?
Firstly, a Compulsory Third Party (CTP) insurance is a legal requirement to all motor vehicles.
It covers compensation payments for people injured or killed in a motor vehicle accident but does not cover the cost of damaged or loss of vehicles and property.
What is Third Party Car Insurance?
Third Party Car Insurance is optional and covers you if you are involved in an accident with another vehicle or property and you are at fault. It's an economical motor vehicle insurance option especially if you are unable to afford out-of-pocket repairs.
The policy you choose depends on how much protection you want. You may factor in the value of your motor vehicle and how you use it.
Choose the right cover for your vehicle
Motor vehicle insurance is an important investment which can most probably save you thousands of dollars in out-of-pocket expenses. It is paramount to get the right level of insurance, so you're properly covered if an accident happens.
Advisr does not provide advice and does not hold a financial service license (AFSL). All information above has been provided by Amanda Morris.