The Motor Vehicles Act, 1988 - Mandatory for every owner of a vehicle plying on public roads, to take an insurance policy,to cover the amount, which the owner becomes legally liable to pay as damages to third parties as a result of accidental death, bodil
A Certificate of Insurance must be carried in the vehicle as a proof of such insurance
Third-Party Insurance - An insurance policy purchased for protection against the legal actions of another party. Is called Liability Insurance as well.
Third Party Insurance - Purchased by the insured (first party) from an insurance company (second party) for protection against another party's claims (third party) for liability arising out of the action of the insured
Act [Liability] Only Policy: As per Motor Vehicles Act it is mandatory for any vehicle plying in public place to insure liabilities towards third parties.
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