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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.

Budget Direct Third Party Property, Fire & Theft

Budget Direct Third Party Property, Fire & Theft logo image
Promoted
  • Get a 15%* online discount
  • 24/7 Claims
  • Lifetime guarantee on repairs
  • Save by restricting younger drivers
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*First year's premium for a new policy. T&Cs apply.

What is third party, fire and theft car insurance?

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 third party, fire and theft car insurance policies

Name Product Roadside assistance Accidental damage Storm Choice of repairer Agreed or Market Value
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
Optional
Agreed or Market
Up to $20 million legal liability cover and 24/7 claims team.
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
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
Optional
Agreed
Get cover for the Third Party, Fire & Theft Car Insurance
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Finder survey: Why do Australians choose third party fire and theft?

Response
I'm worried my car will be stolen47.54%
It was only slightly more expensive27.87%
I don't know the difference19.67%
I live in a bushfire-prone area19.67%
Source: Finder survey by Pure Profile of 1006 Australians, December 2023

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.

Our editorial pick

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.

Why you can trust our research

20 third party fire and theft policies

199 prices gathered

100+ hours of research

Great for value: 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.

Gary Ross Hunter
Selected by Gary Ross Hunter – car insurance specialist
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Maximum cover limits
Most third party, fire and theft policies have a cap on how much they'll pay you if your car is written off due to a fire or because it's been stolen. This is typically up to $10,000. We researched 14 policies and GIO was the only insurer with a slightly higher $12,000 limit.

How does this type of car insurance compare to others?

There are 4 main types of car insurance available. Here's a summary of what they 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

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.

Third party fire and theft covers a number of road-related risks – and goes quite a bit further than an entry-level policy. It's particularly good if you rely on having a vehicle and you'd otherwise be stuck, say, if your car were stolen. But, keep in mind your cover won't extend to damages to your own car after an at-fault incident. For that, you'll need to upgrade to comprehensive insurance.

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4 Responses

    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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