A Third Party Fire & Theft car insurance policy includes, among other things, cover for accidental damage to, or loss of, your vehicle caused by a fire or theft. It also covers your legal liability for damage to other people's property caused by the use of your car.
Whether it’s worth getting Third Party Fire & Theft car insurance will depend on your own needs, situation and location.
If you live in a neighbourhood with a fairly high crime rate or in an area with a high Bushfire Attack Level (BAL) rating, then taking out Third Party Fire & Theft car insurance could be a very wise idea.
You may always need access to a car (to get to work, for example) so taking out a car insurance policy that offers car hire after theft or damage could be an important factor in your decision.
Third Party Property Only insurance does not cover as many incidents as Third Party Fire & Theft insurance.
Third Party Property insurance doesn’t cover loss or damage to your own car caused by fire or theft, whereas Third Party Fire & Theft does.
Third Party Property insurance is used mainly to cover your legal liability if your car damages someone else’s property.
This depends on your circumstances, but it’s worth remembering that Third Party Fire & Theft car insurance doesn’t cover you for any accidental damage caused to your vehicle.
This means that if you cause an accident, you’ll be covered for the damage you’ve caused to another person’s property, but you’ll be responsible for paying for your own car’s repairs.
Third Party Fire & Theft car insurance is calculated by taking a number of different factors into account. Here are some of them.
- How old you are. If you’re a young driver (under the age of 25) you may have to pay more for your car insurance.
- Your car. The make and model, value, age, condition and even the colour of your car all play a role in how your Third Party Fire & Theft insurance is calculated.
- Where you live. For example, if you live in an area with a low crime rate, you’d likely pay less for your car insurance.
- Demerit points incurred. The number of demerit points you’ve incurred on your licence could impact the cost of your car insurance.
- Your insurance history. How long you’ve had active car insurance with other companies could also have an impact on your premium.
- Your driving history. If you’ve been involved in any car accidents or incidents in the past three years (whether you made a claim or not), this could impact your future cost.
- Where your car is usually parked in the day and overnight. Whether you park your car in a garage, on the street, in a carport or another location will play into your insurance cost.
The main thing you can do to potentially reduce the cost of your Third Party Fire & Theft car insurance policy is to increase your excess. A higher excess means you’ll pay more when you have to claim, but will reduce your premium.
We cover the contents of the car (including baby seats) if they are damaged as a result of an insured event. Set limits apply.2
This is included when you have either Comprehensive or Third Party Property Fire & Theft cover.
You are also able to add optional cover for Business Items and Campervan/Motorhome Contents where applicable.
If you have a Third Party Fire & Theft policy, a hire car is only available after an approved claim involving theft. Additionally, you can include optional car hire for other insured events. Conditions apply. Please refer to your PDS for further information.