Should I get comprehensive or third party car insurance?

​This article outlines the differences between third party and comprehensive car insurance, as well as detailing what they cover to help you find the right protection for your vehicle.

Comprehensive vs third party cover

Car insurance is a legal requirement if you want to drive on UK roads. It's also needed even if you never drive it but leave your car parked on a public road, your driveway or in a garage (unless it’s been declared as off the road via a Statutory Off Road Notification known as a SORN). When researching car insurance policies to take out you'll see mentions of third party and comprehensive cover. These are the names given to levels of car insurance protection and references the level of cover each provides.

Comprehensive car insurance offers more protection than third party options. But what's the difference between them, and which is best for you? Below are some things you might consider when insuring your vehicle.

What does third party insurance cover?

Third party insurance is the least amount of cover that you should legally have on your car.

Third party only (sometimes referred to as TPO), covers any damage to other cars in the event of an accident caused by you but does not cover your own vehicle. This means that repairs to your own vehicle following a crash will need to be paid for by you.

If you’re travelling with a passenger in the vehicle and you get into an accident, third party insurance will also compensate these passengers for their injuries.

Please note: Age Co does not offer third party only car insurance.

Third party fire and theft insurance

Third party fire and theft insurance is a natural extension to Third party only that you may want to consider. This insurance typically includes the same policies as Third party only. However, you will also receive compensation if your vehicle is stolen or involved in a fire.

Is Third Party Only (TPO) insurance cheaper?

Some people take out third party insurance because they believe it to be cheaper than comprehensive cover. However, sometimes it can actually cost you more. This is because it is commonly young motorists, drivers with convictions or drivers that are considered a risk that take out this kind of insurance. This increase in risk usually boosts the cost of third party protection. Therefore, it’s always worth comparing the cost of this type of insurance against comprehensive cover.

What does comprehensive car insurance cover?

Comprehensive insurance, sometimes referred to as ‘fully comp’, covers you and your vehicle as well as any other vehicles that are involved in an accident, regardless of whether it was your fault or not.

Not only could comprehensive insurance be cheaper than paying for third party cover, but if you get into an accident, your insurance company will pay for the damages to your vehicle.

Your comprehensive insurance could also cover:

• Damaged windows or windscreens
• Replacement locks
• Trailer cover
• Any audio or telephone equipment.
• Personal belongings that are stolen or damaged

Third party insurance would not cover these features.

Protection against hit and run accidents

You may receive compensation when the fault can’t be proven too.

For example: if someone has hit your car while it’s been parked in a car park and then driven off. Without comprehensive cover, you would have to pay for any repair work. If your vehicle was written off, you would have to pay to replace the whole thing.

Will I be able to drive another vehicle on my insurance?

While some insurance policies include cover that allows you to drive someone else's car, not all do. So, you should always check what your own policy allows.

Driving Other Cars (DOC) is only supposed to be done in an emergency. It’s not designed for frequently driving your partner’s car or borrowing the car of a friend. If you drive someone else's vehicle regularly, you should be added as a named driver on their insurance policy. This can be done through their insurance company for an additional fee.

It’s worth remembering that if your own insurance policy does allow you to drive someone else's car without being listed as a named driver, you will only be covered on a third party basis.

Third party

If your insurance is Third Party Only cover (TPO), it’s likely that you won’t be able to drive someone else’s vehicle.

Comprehensive

If you have comprehensive cover, you’d need to check with your insurance provider whether you’re covered or not. In some cases, you might have to request this as an additional extra and pay more for it.

Please take a look at our detailed guide on driving another vehicle on your insurance policy for more information.

Summary

When it comes to protecting your vehicle, there are two types of car insurance: comprehensive and third party. If you’re looking to insure a new vehicle or renew your protection, consider these differences between the two.

• The main difference between comprehensive and third party options is the level of cover. Comprehensive offers the highest level of protection, while more basic cover tends to be third party.
• Comprehensive car insurance will cover you and your vehicle as well as any other vehicles that are involved in an accident.
• Third party options only cover damage to other cars in the event of an accident caused by you – it will not cover your own vehicle.
• Less cover doesn’t necessarily mean you get a better price. Third party only options tend to be taken out by younger drivers or those with motoring convictions, so this added risk can be added into the price.
• If you want to drive another vehicle, this might be covered by comprehensive car insurance but you should always confirm by checking your policy documents.