Examkin

Question

Difficulty: MediumMotor Insurance Coverage and Legalities

Under UK road traffic law, a third-party only motor insurance policy covers liability for injury to other people and damage to their property, but provides no cover for damage to your own vehicle.

Answer: Answer

Answer

True
Third-party only cover fulfils the legal minimum requirement to drive on UK roads. It compensates third parties for bodily injury, property damage, and vehicle damage, but explicitly excludes any compensation for damage to the policyholder's own vehicle.

Step-by-Step Solution

1
Identify the statutory scope of third-party only motor insurance
Third-party only insurance covers legal liabilities to other road users, passengers, and external property
This is the minimum legal requirement established to protect members of the public in road incidents
2
Determine whether the policyholder's own vehicle is protected under this tier
Damage to the policyholder's own vehicle is strictly excluded from third-party only cover
Cover for accidental damage to your own vehicle requires a comprehensive insurance policy

Key Concept

Scope of Statutory Third-Party Motor Insurance Coverage
Estimated Time:45s
Rate this question

Topics

Motor Insurance Coverage and Legalities

More questions from this topic