Third Party vs Comprehensive

Third-Party Insurance (The Legal Minimum)

• What it covers: Only the other person's car repairs and medical bills if you cause an accident.
• Your car: Not covered at all. If your car is damaged or stolen, you pay for it entirely out of your own pocket.
• Best for: Older, low-value cars, or if you just want the cheapest way to legally register your car.

Comprehensive Insurance (Full Coverage)

• What it covers: Everything third-party covers, plus repairs for your own car.
• Best for: Brand-new cars, cars bought on a bank loan, or anyone who wants total peace of mind.

Bottom Line: Third-party only protects your wallet from the other party's damages. Comprehensive protects your own car too.