14/07/2025
Third Party Insurance
In Zimbabwe, roughly 38% of all registered motor vehicles have third party insurance while only 2% have comprehensive insurance cover.
When clients come to renew their vehicle licences, most opt for third party insurance not out of choice but because it is the minimum acceptable cover by law in Zimbabwe in terms of the Road Traffic Act. If vehicle owners could have their way, they would only renew the vehicle licence without any accompanying insurance cover. Generally, there is a lack of awareness by the customers of what third party insurance covers and does not cover.
What does Third party insurance cover?
• Protects policyholder against loss, damage, death or bodily injury of third parties and their property ONLY while driving on a road.
• Covers any legal liabilities arising from the policyholder’s driving which results in bodily injury, death, or property damage to third parties.
• Does NOT cover loss or damage to the car of the policy owner.
Generally the cover ceiling is USD $2000 or local currency equivalent. The compensation is paid in the policy currency. The third party insurance premium depends with vehicle type. For light motor vehicles it is USD $35.60.
What does this mean?
• If you are involved in an accident where you as policyholder is at fault (as confirmed by admission of guilty fine), your third party cover can contribute towards compensating the other aggrieved parties. It could be other vehicle involved, lives lost, injured persons or other damaged property like perimeter walls or buildings.
• Point to note is that your own vehicle is not covered by this policy.