Top News

New Delhi: Has the insurance of your car or bike expired and you are driving it recklessly on the road? If yes, then be careful! This one carelessness of yours can not only land you in legal trouble but can also wipe out your entire savings in case of an accident. Whether the accident while walking on the road is your fault or that of the person in front, if you Third Party Insurance If not, you may get into serious trouble.

The surprising thing is that more than 50% of the vehicles plying on the roads in India do not have third party motor insurance. According to the report of Insurance Regulatory and Development Authority of India (IRDAI) dated January 9, 2026, more than half of the people are driving without necessary insurance. Whereas its annual expenditure can be less than just Rs 3,500.

Why is third party insurance necessary?

Celebrated every year from 11 to 17 January Road Safety Week The main objective of this is to make people aware of safe driving and legal rules. It is legally mandatory to have third party insurance in India under the Motor Vehicles Act, 1988. The biggest reason for this is that an innocent victim of a road accident can get financial help and does not have to face hurdles from door to door.

Experts say that people often ignore it due to lack of awareness. This policy has been made not only for your safety but also for public welfare.

After all, what does it cover?

The main function of third party insurance is to compensate for the losses caused to others. If someone gets injured or dies due to your vehicle, the insurance company bears the financial responsibility for it. Apart from this, if your vehicle causes damage to someone else’s car or any public property (like an electric pole or divider), then the company also bears its expenses.

However, it is important to understand that it does not cover damage to your vehicle, theft or your medical expenses. This happens entirely for the ‘third party’ i.e. the other person.

What will happen if you are caught without insurance?

If you are caught without valid third party insurance, the punishment is quite severe. When caught for the first time ₹2,000 fine It may take. If you make the same mistake again, the fine will increase and you may even have to go to jail. Not only this, the police can also suspend or cancel your driving license. The biggest fear is of an accident, where on the orders of the court, you may have to pay compensation worth lakhs of rupees from your own pocket to the victim.

How much will the pockets have to be loosened?

The premium for third party insurance is decided by the government, so it is almost the same in every company. It depends on the engine capacity (CC) of your vehicle:

Two-Wheeler (Annual Premium) | Engine Capacity Estimated Premium | :— | :— | | Upto 75 cc ₹538 | | 75-150 cc | ₹714 | | 150-350 cc | ₹1,366 | | Above 350 cc ₹2,804 |

Four-Wheeler (Annual Premium) | Car Engine Capacity Estimated Premium | :— | :— | | Upto 1000 cc ₹2,094 | | 1000-1500 cc | ₹3,416 | | Above 1500 cc ₹7,897 |

Is third party insurance alone enough?

Legally it is mandatory, but in practice it is not sufficient. If your car is stolen or damaged in fire or flood, third party insurance will not pay you even a single rupee. For this you Comprehensive Insurance (Own Damage Cover) Should take. In this, you can completely protect your vehicle by taking add-ons like zero depreciation and roadside assistance.