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What Does Third-Party Vehicle Mean?

1 Answers

Isabelle

07/29/25 2:29pm

Third-party vehicle generally refers to people or objects other than the insured vehicle and its occupants. Below is relevant information about auto insurance: 1. Definition: Third-party liability insurance refers to the situation where a qualified driver permitted by the policyholder causes an accident while using the insured vehicle, resulting in bodily injury, death, or direct property damage to a third party. The insurer will compensate according to the relevant provisions in the insurance contract for the amount the policyholder is legally obligated to pay. 2. Notes: After a trailer is insured, it is considered as one with the main vehicle, meaning both the main vehicle and the trailer must be covered by third-party liability insurance, and the main vehicle must be towing the trailer. Regardless of whether the liability arises from the trailer, it is deemed to arise from the main vehicle, and the insurer's total liability for third-party liability insurance is limited to the main vehicle's coverage limit.

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