If you live near Tucker, third party liability insurance is something that you need to think about when you’re wondering what to do after an accident. Greater Atlanta is one of the worst cities for car accidents in the United States. For example, it ranks #8 for pedestrian deaths according to the AJC, and it seems like every day driving on the highways towards the Atlanta metro, you’ll be dealing with an accident.
What is Third Party Liability?
Third party liability is holding a third party responsible for paying the damages of an accident that party caused. Now, who are the parties? The first party is you – the victim. The second party is your insurance company, who in certain circumstances would be the payer to you. But in this case, because the at-fault party is known, the at-fault party is also billable for the damages.
It’s called third party insurance, because we’re talking about a payer who isn’t you, and isn’t your insurance company. The payment can be for loss, damage or injury to the first party.
What if You’re the Third Party?
This is where third party insurance comes in. What happens when you’re the at-fault party in an accident? When it’s time to ante up, you’ll want a shield to protect you from having to pay for bills. This can also go for your business. If you’ve hurt somebody, damaged property or you’re being sued, then third party insurance will protect you the same way that medical insurance protects you if you owe the hospital for its medical care. While bills may go up to the thousands of dollars, your insurance will cover most if not all of that care. The difference here is that you’re being protected from paying for the medical costs of the person you injured, or from the legal fees that will accrue when that first party drags you to court.
There are a variety of third party insurance categories. These consist of commercial general, which protects a business for any of its conduct, such as a company driver who runs down a fire hydrant and damages property. There is product third party insurance, which is what manufacturing companies will use to deflect the cost of disgruntled customer’s lawsuits. Professional liability insurance will protect against lawsuits brought because of breaches of contract and other non-physical disagreements such as compensation and unemployment.
If you find yourself contemplating third party insurance – either as a purchaser or as a victim, you need to speak to a professional to decide how best to proceed. Don’t pay without getting help from an expert, and don’t give up and feel you haven’t a case without doing the same thing. If you have a question, seek appropriate counsel either from a legal representative or a doctor who specialises in accident injury cases like yours.