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Automotive glossary

Third-Party Liability Insurance

Third-party liability insurance pays for injury and damage you cause to other people and their property with your car.

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What is Third-Party Liability Insurance?

It is the minimum legal insurance for driving on public roads in Europe and many other countries. It does not pay for damage to your own car. Driving without it can bring fines, vehicle seizure and personal liability for the costs. In Turkey this compulsory cover is called trafik sigortası, and in Germany Kfz-Haftpflichtversicherung.

How it works

If you cause an accident, your insurer compensates the injured party up to the policy limits.

Why it matters for your car

Legal minimum limits vary by country and may be lower than a serious claim. Keep proof of insurance in the car or available digitally where required.

Other terms