What is Covered by Third Party, Fire and Theft Insurance?

Written by: Lucy Robinson Motor Insurance Manager, Asda Money 10 Feb 2021

Getting car insurance that works best for you and your budget is essential for feeling confident, safe and covered during your time on the road.

There are three main forms of car insurance: fully comprehensive, third party only, and third party fire and theft. Each offers its own level of cover, and each comes with its own price, so researching and comparing what’s best for you and your vehicle is crucial.

In this blog we’re going to focus on that last level – third party, fire and theft. This level of policy is a great option for those who want an added level of vehicle cover without going all in on fully comprehensive car insurance.

Read on to learn about what you can get from a third party, fire and theft level of cover, and what is normally covered from this kind of policy.

What does third party, fire and theft cover?


Third party, fire and theft insurance generally covers what it says on the tin. You’ll need to check with your individual policy provider, but here’s what’s normally covered:

  • Third party compensation – If you are involved in a crash, the third party involved in it with you may claim compensation from you. In this case, your third party, fire and theft insurer will compensate the third party on your behalf.
  • Damage from fire – The fire part of third party, fire and theft covers your car in the event of a fire that damages the vehicle. That includes both the deliberate setting of fire to your car through arson and any accidental fire damage.
  • Loss or damage from theft – Your third party, fire and theft insurance will cover the loss or damage to your car from theft, with most insurers replacing your car on your behalf. This may also cover any parts of your car stolen during the theft. Most insurers will also cover you for vandalism or damage from an attempted theft too.

As you can see, third party, fire and theft insurance does cover a bit more than regular third party only insurance, but less than fully comprehensive insurance with the potential optional extras like windscreen repair and roadside assistance which can be bundled in as well. It’s worth taking the time to sit down and consider what you think you need to be covered by and what would suit your driving and geographical situation best.

What’s the difference between third party and third party, fire and theft?


The big difference between third party only and third party, fire and theft car insurance is really just the ‘fire and theft’ part.

If you have third party only insurance, you will only be covered for third party compensation in the event of an accident. If your car gets stolen, or damaged by fire, you won’t be able to claim the money to repair or replace your car from your insurer.

If you have third party, fire and theft cover, you’ll be protected for third party compensation, and you’ll also be covered in case your car gets stolen or damaged by fire. Your insurer may accept claims and reimburse you for the replacement or repair of your car.

Third party, fire and theft insurance can also be more expensive than third party only options. The answer to the question of ‘why is third party fire and theft more expensive?’ is that you are covered for more things with this kind of insurance – you are covered for fire and theft damage and loss as well as third party compensation.

Can you drive someone else's car on third party, fire and theft?


Generally, no you can’t drive someone else’s car with third party, fire and theft insurance.

Normally, only fully comprehensive car insurance policies will have a clause allowing you to drive a car that isn’t your own, and even then, it isn’t automatically included and will only provide third party cover. Always be sure to check your insurance documents to ensure you’re covered properly.

Do you still get no claims with third party fire and theft?


Yes, most insurers will allow you to build up a no claims bonus year-on-year. No claims bonuses or discounts are percentages of your insurance price that are taken off by insurers if you don’t make any claims over the course of the year. This is handy for making the cost of premiums cheaper.

Third party, fire and theft car insurance with Asda


We can help you find third party, fire and theft car insurance that fits your budget, suits your needs and gives you the confidence with taking your car on the road.

Compare car insurance quotes here.