With Third Party Fire and Theft car insurance, you’ll be covered for any damage you cause to other people’s property, as well as damage to your car caused by fire or theft.
Third Party Fire and Theft car insurance isn’t the cheapest type of car insurance around, but it’s also not the most expensive. Here’s how it compares to comprehensive car insurance (the highest level of car cover) and Third Party Property Damage insurance (lowest level).
|What’s included?||Comprehensive||Third Party Fire and Theft||Third Party Property Damage|
|Accidental damage to other cars and property||✓||✓||✓|
|Accidental damage to your car||✓||✗||✗|
|Theft of your vehicle and damage from attempted theft||✓||✓||✗|
|Hire car following theft||✓||✓||✗|
|Towing costs for your vehicle||✓||✓ (fire and theft incidents only)||✗|
|Hire car following an accident||✓||✗||✗|
|New car replacement||✓||✗||✗|
|Some insurance policies may differ. For the full details including payout limits, exclusions, terms, conditions and more, read the relevant Product Disclosure Statement (PDS) and any associated policy documents.|
Legal liability for any physical injuries you cause to other people is covered by Compulsory Third Party (CTP) insurance, which is called Green Slip insurance in New South Wales (NSW) and Motor Accident Insurance in the Australian Capital Territory (ACT). CTP insurance is generally included in your vehicle’s registration, except for NSW residents who must purchase Green Slip insurance separately.
Similar to other types of car insurance, your Third Party Fire and Theft premium is calculated based on your individual circumstances, for example:
There are some steps you can take to reduce the price of your car insurance premiums, though these can differ between insurance providers and plans. These include:
Learner drivers may be covered by Third Party Fire and Theft policy, as long as a licensed driver accompanies them while they’re driving. Some insurers may require any Learner driver who uses the covered vehicle to be listed on the policy (Please check the PDS for clarification.) However, if the learner is responsible for an incident, you’ll typically incur the young or inexperienced driver excess on top of the standard excess payment.
Roadside assistance and emergency repairs typically aren’t covered by third party car insurance. Roadside assistance is not an insurance product but, many car insurance providers will offer this service as an optional extra. You might choose to buy roadside assistance separately – possibly from a different provider altogether – or purchase it with your current car insurance policy.
In most cases, third party car insurance doesn’t cover damage to your vehicle. However, if an uninsured driver causes damage to your vehicle, you can make a claim with your provider.
Most car insurance providers allow customers to claim for this scenario possibly without incurring an excess, so long as you can provide the name, contact information and licence number of the uninsured driver responsible.
Car insurance companies generally have their own preferred repairers for fixing your vehicle; any work they do also has a lifetime guarantee from your provider. If you have a Third Party Fire and Theft policy and your car is damaged by fire or theft, your provider won’t typically give you a choice of repairer. However, some may, or even offer this choice as an optional extra, which is why it’s important to compare policies.
Depending on when you take out your policy and what coverage is on offer, your aftermarket upgrades can be covered. If you’re taking out a new policy for a recently purchased ride or switching providers, you can list the aftermarket upgrades when providing details about your vehicle. Any extra parts and upgrades will be counted in the cost of your insurance.
If you already have insurance and do up your car, you won’t be covered unless you contact your provider to advise them of the changes you have made and, if required, upgrade your cover. Extending your policy to cover aftermarket upgrades may result in the cost of your insurance increasing. If you don’t notify your insurance provider and your vehicle is damaged, you’ll likely have to pay the price for fixing or replacing aftermarket parts yourself.