A liability-only insurance is a type of insurance provided to two-wheeler riders in India. The other type of insurance is called a comprehensive insurance.

Liability-only insurance is also referred to as third party liability insurance. This insurance offers protection to the insured two-wheeler from legal cases, if an accident occurs involving the insured vehicle. The legal liabilities this insurance covers are third-party injuries, death, and property damage.

As you can understand, this insurance plan is not inclusive of coverage to the insured vehicle itself.

Do note, that third-party insurance is compulsory under Indian law and it is mandatory for all two wheelers to have this insurance.

An additional benefit that the liability-only insurance provides is that of offering accidental death cover to the owner of the insured vehicle. This is over and above covering the cost of damage caused due to an accident. Thus, the liability-only insurance policy serves as an additional cover in the event the owner is injured, with the insurance company covering the cost up to a certain limit.

As it’s the most basic type of vehicle insurance, you can get this type of insurance from all two-wheeler insurance providers for private as well as commercial vehicles.

Additionally, this insurance is not only applicable for a private vehicle. It is also applicable for carrier, goods-carrying vehicle, two wheelers used for delivery of goods, or a passenger-carrying vehicle.