How it works
Common first-party auto claims are made under collision, comprehensive, personal injury protection, medical payments and uninsured motorist coverage. Because you are claiming on your own policy, your deductible usually applies, and your rights come from your policy and your state's claim-handling rules.
A third-party claim is one you make against someone else's liability insurance, usually the at-fault driver's. You do not pay a deductible on it, but that insurer has no contract with you and may dispute who caused the crash.
Example: another driver backs into your parked car. You can file a third-party claim with their insurer and pay no deductible. If their insurer refuses to pay, you can file a first-party collision claim with your own company and pay your deductible, and your insurer will usually try to collect from the other company.
Related terms
Sources
- California Department of Insurance, Automobile Insurance Terms first party, second party and third party definitions
- Texas Department of Insurance, Auto insurance guide deductibles on claims with your own company versus another driver's insurer
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