Third party Insurance, Lecture notes of Management Fundamentals

Download Third party Insurance and more Lecture notes Management Fundamentals in PDF only on Docsity! Third Party Insurance By Nithin Michael Chacko MBA Logistics and Supply Chain Management Introduction Insurance is a contract whereby one party, the insurer, undertakes in return for a consideration, the premium , to pay the other, the insured or assured, a sum of money in the event of the happening of a , or one of various specified uncertain events. Conclusion Third party insurance protects the interest of a third party who becomes the victim of accident or injury caused by the fault of the insured. So any liability arising on the insured by the third party is mitigated by the insurance company. Third party insurance is compulsory under the motor vehicles Act,1988. As the third party insurance is mandatory so it cannot be overridden be any clause in the insurance policy. THANK YOU