Motor Insurance

Motor insurance is insurance that is taken out by the policy holder for a car, van or other vehicle. The aim of motor insurance is to insure against costs incurred as a result of motoring accidents. Motor insurance is currently obligatory in the UK.

Motor insurance in the UK tends to vary quite widely but there are 3 basic types of policy:

Third Party Cover: Third Party Cover is the minimum amount of motor insurance required under current UK legislation. This type of insurance will provide cover for anyone that you have an accident with, but will not provide cover for any damage done to yourself or your own vehicle.

Third Party Fire and Theft Cover: This type of insurance applies in a very similar way to Third Party Cover. As with that type of insurance, this will provide cover for anyone that you have an accident with. It will also cover your own vehicle in the case of a fire or a theft (hence the name). As with normal Third Party insurance, you would not be covered for your own vehicle in the case of an accident.

Comprehensive Cover: Although insurance policies do vary, comprehensive insurance is the most detailed form of cover (hence the name). This type of policy would usually be expect to cover your own vehicle, plus any others involved in an accident. It also provides fire and theft cover.

Some comprehensive insurance policies will also offer you Third Party Cover if you are driving someone else's vehicle, but you need to check with your insurance provider to see what the exact terms of your own policy are.