Why is third-party motor insurance cover mandatory?
The Supreme Court in July last year made it mandatory for all car owners to have a three-year TP policy and two-wheeler owners to have a five-year policy. You can buy TP cover at the time of registering your vehicle from any non-life insurer. According to Irdai, third-party property damages are covered up to a sum of ₹7.5 lakh. If the degree of damage is beyond the insurance cover, the policyholder has to bear the additional expense. There is no cap on the liability covered for death or injury.