Third Party Car Insurance

Compare third party insurance quotes online

By Peter Carr Friday 25 May 2018

Looking for Third Party insurance? Our guide explains if this type of car insurance is best for you.

Girl in a car looking through the window

What is third party car insurance?

Third party car insurance is the minimum legal level of cover needed to drive a car. It covers you if you damage someone else’s property or injure them while driving, and will cover your passengers too.

What are the advantages of third party insurance?

Third party insurance covers you if you damage someone else’s property or injure someone while driving. It also covers your passengers. It does not cover you or your car if you have an accident that is your fault, or if your car is stolen, damaged or destroyed by fire.

The average annual cost of third party only car insurance is £1293.11*, according to MoneySuperMarket data. This is more than double the average premium for a fully comprehensive policy, which is £549.25*.


Third party is the most expensive car insurance at an average of £1,293, followed by £858 for third party, fire & theft and £549 for fully comprehensive cover.

MoneySuperMarket data, correct as of February 2018

What are the advantages of third party insurance?

Traditionally, third party insurance was the cheapest option for anyone looking to buy car insurance on a budget. But due to an increase of less experienced drivers buying third party cover and then needing to claim, insurance companies have upped the premiums considerably.

These changes in the market may mean that third party cover won’t necessarily represent the best value for money for you, either because a fully comprehensive policy is cheaper, or you can get more extensive cover for a similar price.

However, it’s important to research different forms of cover using a car insurance comparison tool that takes your personal circumstances into consideration. That’s because fully comprehensive insurance cover could still prove more expensive than third party insurance for your particular needs or for your demographic.

See how the cost of third party car insurance has changed since 2013

MoneySuperMarket data, showing the average price of third party car insurance quotes in January of each year. Correct as of February 2018.

Is it risky to buy third party insurance?

If your car isn’t worth a lot of money, 3rd party insurance cover might be the right option for you. But as mentioned, since fully comprehensive cover is oftentimes cheaper, the choice depends on how much you care about your car.

Plus, it’s vital to be aware that third party cover won’t provide you with the level of protection that a third party, fire and theft or a fully comprehensive insurance policy would offer.

What is third party, fire and theft?

Third party, fire and theft (TPFT) cover does exactly what you’d expect – it provides the same level of protection as third party insurance, but also covers you in the event that your vehicle was stolen or damaged by fire.

As with third party only, TPFT insurance won’t cover any damages caused by collisions or accidents and is on average more expensive than fully comprehensive cover.

Is third party car insurance cheaper?

Not necessarily. While you could be forgiven for assuming that third party car insurance will be cheaper for you than TPFT or fully comprehensive cover, this is probably not be the case.

MoneySuperMarket research shows that in most cases, especially those involving young drivers, fully comprehensive insurance cover is cheaper than third party insurance. This is because insurance providers’ own data suggests that some customers who buy third party cover are statistically more likely to need insurance payouts than those who purchase fully comprehensive policies.

Because all insurance policies are priced in accordance with risk, it’s possible that third party insurance won’t be the cheapest option for you. In fact, you might find you can buy superior cover at a lower price!


Third party or third party, fire & theft car insurance could be cheaper if you have more than five years no claims, of you’re a female aged over 40 or a male aged over 50.

MoneySuperMarket data, correct as of February 2018


There are some circumstances where third party or TPF&T insurance may be the cheapest option for you. It is always worth comparing packages, but specific cases that may apply include experienced drivers over 50 and people who haven’t made any car insurance claims for the past five years.

Compare with MoneySuperMarket

The best way to find out whether a third party, TPFT or fully comprehensive policy will be the cheapest choice for you is to shop around and compare car insurance quotes.


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