Third-party liability
Auto coverage that may protect you when you are legally responsible for injuring someone or damaging their property with a vehicle.
Also called
TPL · third-party liability coverage
What it means
Vehicle liability protection for covered claims made by other people.
Example
If you cause a crash that damages another vehicle, third-party liability may pay eligible damages up to the limit.
Canada context
Insurance wording and mandatory coverage can differ by province, insurer and policy form. Read the declarations, endorsements and full policy wording that apply to you.
Common confusion
Minimum mandatory limits and the way claims operate differ by province; this is not collision coverage for your own vehicle.
Important
This plain-language explanation is general information, not legal advice or a substitute for your policy wording. Ask a licensed insurance professional about your situation.
Last reviewed August 17, 2026
Sources
General information only. Coverage and terminology can differ by province, insurer, and policy wording. Consult your policy and a licensed insurance professional.