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Third party, fire and theft car insurance

Third party, fire and theft insurance covers you if your vehicle's stolen or damaged by fire. Or, if you're at fault for an accident that damages a person's vehicle or property.

Third party, fire and theft car insurance covers you for damage to another person's vehicle or property as well as damage to your car by fire or theft. It does not cover damage to your vehicle in the event of an accident; for that, you'll need comprehensive car insurance.

Compare policies

Product FCI Roadside assistance Accidental damage Storm Choice of repairer Agreed or Market Value
Budget Direct Third Party Property, Fire and Theft
Finder Award
Budget Direct Third Party Property, Fire and Theft
Optional
Market
Save 15% on your first year's premium when you purchase a new policy online. T&Cs apply.
Youi Third Party Fire and Theft
Youi Third Party Fire and Theft
Optional
Market
Up to $20 million legal liability cover and 24/7 claims team.
Qantas Third Party Property, Fire and Theft
Qantas Third Party Property, Fire and Theft
Optional
Market
Earn Qantas Points when you sign up. T&Cs apply.
Bendigo Bank Third Party Fire and Theft
Bendigo Bank Third Party Fire and Theft
Agreed or Market
Get up to $30m in liability cover, $5,000 in protection against uninsured drivers, towing costs and more with Bendigo Bank’s midweight policy.
RAA Third Party, Fire & Theft
RAA Third Party, Fire & Theft
Agreed
Get cover for the Third Party, Fire & Theft Car Insurance
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What does third party fire and theft cover?

Third party fire and theft car insurance covers you for damage to another person's vehicle or property, plus damage to your car by fire or theft.

It's a step up from third party car insurance, which only covers damage to another person's vehicle or property.

It doesn't cover damage to your vehicle in the event of an accident; for that, you'll need comprehensive car insurance.

Finder's top pick for November 2024

If you're looking at third party fire and theft car insurance, chances are you don't want to dish out thousands a year for comprehensive cover but you want a bit more than a basic third party policy. Maybe you're worried about theft, live in a bushfire area; regardless, we can help. Our insurance team collected 199 third party fire and theft quotes from 20 popular car insurers and analysed dozens of features to see who came out on top.

Budget Direct third party fire and theft

Budget Direct car insurance

Our verdict

Budget Direct was the cheapest third party fire and theft policy on average across all major states, according to our research. In addition to cover for damage to other people's property, fire and theft, it also covers your car for damage caused by an uninsured driver, up to $5,000.

Pros and cons

  • Cheap third party fire and theft policy.
  • You can reduce costs by restricting drivers.
  • Hire car following theft - up to $1,000, up to 14 days.
  • The 15% sign-up discount only applies for the 12 months.
  • It doesn't generally cover damage to your own car (only if an uninsured driver hits you).
  • AAMI and Virgin were around the same price in our analysis – marginally more expensive.
Gary Ross Hunter
Selected by Gary Ross Hunter – car insurance specialist
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How does third party fire and theft stack up?

There are 4 main types of car insurance available. Here's a summary of what they cover. As you can see, third party fire and theft is a good medium for those who want some cover but don't want the full expense of comprehensive cover:

CoverCTP insuranceThird party property damage insuranceThird party, fire and theft insuranceComprehensive car insurance
Damage to my vehicle in an accident
  • No
  • No
  • No
  • Yes
Damage to another person's vehicle or property
  • No
  • Yes
  • Yes
  • Yes
Loss or damage to my car due to fire
  • No
  • No
  • Yes
  • Yes
Loss or damage to my car due to theft
  • No
  • No
  • Yes
  • Yes
Loss or damage to my car due to storm, hail and flood
  • No
  • No
  • No
  • Yes
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Our expert says

"I have a Third Party, Fire and Theft policy with Budget Direct. I went with this policy because it gives me peace of mind but is also cost-effective. I drive an older car and I would replace it if it were damaged or broke down. So this policy makes sense for me."

Money expert

What are the benefits of third party, fire and theft car insurance?

  • It covers some common risks. Get protection for car accidents, theft and fire damage – among the biggest risks all drivers face.
  • It can be cheaper than comprehensive car insurance. This mid-level policy option combines a decent range of cover with competitive premiums. But, it doesn't offer the same level of insurance as comprehensive cover. For example, it won't cover the contents in your car or replacement keys.
  • It offers additional benefits. Most third party, fire and theft policies also include a range of additional benefits, such as towing and storage costs, a hire car after theft, and cover for damage caused by uninsured motorists.
  • It provides peace of mind. Like any form of car insurance, third party, fire and theft insurance is all about peace of mind. It gives you the confidence and reassurance you need before getting behind the wheel.

What isn't covered by third party, fire and theft insurance?

There are a few situations where third party, fire and theft insurance won't cover you. The main ones relate to damages to your car.

  • Natural disasters. You won't be covered for natural disasters including storms, floods, hailstorms, earthquakes or landslides. The one exception is bushfire since it does cover fire of all types.
  • Accidents you cause. You won't be covered for any damage to your own car if you cause the crash.
  • Vandalism. You won't be covered for vandalism. However, you will be covered if someone damages your car while attempting to steal it.
  • Hitting an animal. You won't be covered for hitting an animal, even if there was nothing you could do to avoid it.

How can I find the cheapest third party, fire and theft policy?

  • Compare policies. It's quick and easy to compare car insurance quotes online, so get quotes from multiple insurers and see which policy comes out on top.
  • Choose a higher excess. The higher your excess, the cheaper your premium will be.
  • Take advantage of discounts. Many insurers offer discounts to new customers. Some sign up discounts are as generous as 15% off.
  • Restrict cover. Restricting younger drivers can help you reduce your premiums as you're seen as less risky. Remember, this is only a good option if you're certain no younger drivers will drive your car.
  • Secure your vehicle. Vehicles that are kept in a locked garage are often cheaper to insure as they're seen as less risky.

Who is third party, fire and theft car insurance good for?

A third party, fire and theft policy is good if:

  • You want protection against damage you cause to other people's cars or property; theft or fire damage to your own vehicle; and cover for legal expenses after an accident.
  • You're keeping a close eye on your budget. Put simply, it's usually cheaper than comprehensive insurance.
  • Theft is a worry where you live or work. It's worth considering if you're based in an area that carries a high risk of vehicle thefts.
  • You drive an inexpensive car. If your vehicle has a low market value, you may decide that mid-range coverage is enough for you.

FAQs

James Martin's headshot
Written by

Editor

James Martin was the insurance editor at Finder. He has written on a range of insurance and finance topics for over 7 years. James often shares his insurance expertise as a media spokesperson and has appeared on Prime 7 News, WIN News, Insurance News, 7NEWS and The Guardian. He holds a Tier 1 General Insurance (General Advice) certification and a Tier 1 Generic Knowledge certification, both of which meet the requirements of ASIC Regulatory Guide 146 (RG146). See full bio

James's expertise
James has written 225 Finder guides across topics including:
  • Car, home, life, health, travel and pet insurance
  • Managing the cost of living
  • Money-saving tips
Gary Ross Hunter's headshot
Co-written by

Editor, Insurance

Gary Ross Hunter was an editor at Finder, specialising in insurance. He’s been writing about life, travel, home, car, pet and health insurance for over 6 years and regularly appears as an insurance expert in publications including The Sydney Morning Herald, The Guardian and news.com.au. Gary holds a Kaplan Tier 2 General Advice General Insurance certification which meets the requirements of ASIC Regulatory Guide 146 (RG146). See full bio

Gary Ross's expertise
Gary Ross has written 659 Finder guides across topics including:
  • Health, home, life, car, pet and travel insurance
  • Managing the cost of living

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6 Responses

    Default Gravatar
    ByronJune 20, 2024

    I am looking for an insurance company to insurer my son’s vehicle he is 19 years old and has had two suspensions with in 2 years, the vehicle is a 2008 Toyota Hilux.

      AvatarFinder
      SarahJuly 18, 2024Finder

      Hi Byron, It may be possible to get cover, but will definitely vary between insurers. He should check out this page: https://www.finder.com.au/car-insurance/high-risk-car-insurance – there’s a section on insurers who we found would insure people after license suspension. Obviously his driver profile will be different so there are no guarantee, but this is a good place to start. Best of luck!

    Default Gravatar
    MichelleMay 21, 2024

    Need to get motor vehicle cover for one day have asked a couple of insurers, telling me they only do yearly policies, in the old days this was usually done by your insurer as a cover note, only required to drive back from motor vehicle dealership.

      AvatarFinder
      SarahMay 24, 2024Finder

      Hi Michelle,

      This cover isn’t available any more, as the assumption is you’ll continue to want cover beyond driving the vehicle home from the dealership. In the past this was available because you had to buy a policy during business hours. Now that it’s possible to buy a policy online at any time of the day or night or on weekends, there’s no need for one-day cover anymore.

      Hope this helps!

    Default Gravatar
    rossMarch 6, 2017

    need cover have driver (L)with drug conviction less than 3yrs

      AvatarFinder
      ZubairMarch 8, 2017Finder

      Hi Ross,

      Thank you for your question.

      finder.com.au is a comparison and information service and not an insurer. Most insurers in Australia will ensure you with a drug conviction but depending on the offense, you may pay a little more for cover.

      You may find our car insurance for learner drivers and car insurance for drivers convicted of drunk driving guides helpful.

      Please make sure though to read the eligibility criteria, features, and details of the policy, as well as the relevant Product Disclosure Statement PDS/T&C’s of the policy before making a decision and consider whether the product is right for you. If necessary, speak to the insurance brand to verify any details.

      Cheers,
      Zubair

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