What is third-party car insurance?

Third-party car insurance is the most basic cover available in South Africa. It only pays for damage you cause to someone else's vehicle or property, not for any damage to your own car. It is the cheapest way to protect yourself against expensive liability claims and is popular for older, lower-value vehicles.

Key takeaways

  • Covers only the damage you cause to other people's property.
  • Does not cover your own car for accidents, theft or fire.
  • The most affordable type of car insurance in South Africa.
  • Best suited to older, low-value cars you could afford to replace.

What does third-party car insurance cover?

Third-party cover pays for loss or damage you cause to others, such as:

What is not covered?

Third-party only insurance does not cover your own vehicle at all. If your car is damaged, stolen or destroyed by fire, you will not be paid out. It also excludes the usual items such as driving under the influence or without a valid licence.

How much does third-party car insurance cost?

Third-party is the cheapest car insurance because the insurer does not carry the risk of your own vehicle. Premiums still vary based on your car, your age, where you live and your driving history, so it is worth comparing quotes even for basic cover.

Is third-party car insurance enough?

Third-party cover protects you from potentially ruinous liability claims if you damage an expensive vehicle. But because it pays nothing towards your own car, it is best suited to older, lower-value vehicles you could afford to repair or replace yourself.

Compare car insurance cover types in South Africa

Comparison of car insurance cover types in South Africa
What's covered Comprehensive Third-Party, Fire & Theft Third-Party Only
Damage to other people's propertyYesYesYes
Theft & hijacking of your carYesYesNo
Fire damage to your carYesYesNo
Accident damage to your own carYesNoNo
Weather & natural disaster damageYesNoNo
Typical monthly premiumHighestMid-rangeLowest
Best forNew / financed carsMid-value carsOlder, low-value cars

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Frequently asked questions

Is third-party car insurance compulsory in South Africa?
No. Unlike some countries, South Africa does not legally require car insurance. Third-party cover is optional, but strongly recommended to protect you against liability claims.
Does third-party insurance cover my own car?
No. Third-party car insurance only pays for damage you cause to other people's property. Your own vehicle is not covered for accidents, theft or fire.
Why choose third-party over comprehensive?
Third-party is much cheaper and can make sense for an older, low-value car where comprehensive premiums would cost more than the car is worth, while still protecting you against costly liability claims.

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