I still remember the first car I bought with my own money. It wasn’t anything close to fancy—more like the kind of hatchback you’d expect to see parked outside a student digs with a missing hubcap or two. I loved it, but I also knew I couldn’t afford the kind of full comprehensive insurance that my bank tried to nudge me toward. The premiums alone felt like a second rent payment. Back then, the word “insurance” carried an almost mythical weight, something I thought was reserved for people with BMWs and SUVs, not a used Toyota Starlet with questionable aircon.
That’s when I first stumbled across something called third-party, fire, and theft cover. At the time, I wasn’t entirely sure what it meant. Would it actually help me if my little car got into trouble, or was it just a watered-down version of “real” car insurance? Years later, looking at how OUTsurance structures its Third-Party Fire & Theft (TPFT) plan, I realize it’s still one of the most practical options for drivers who live on a budget, especially those who can’t justify pouring money into full cover for a car that may not be worth much more than the insurance bill itself.
But let’s take a step back and really unpack what OUTsurance is offering here, why it matters for people with everyday cars, and where the strengths and shortcomings of this type of cover might lie.
What Exactly Is Third-Party Fire & Theft?
In the world of car insurance, the menu often looks longer than it really is. There’s comprehensive cover at the top of the pyramid: that’s the one that pays for damage to your car, damage to other people’s property, theft, hijacking, natural disasters, and even those freak accidents you never expect (like a tree branch deciding to crush your bonnet). On the other end of the scale, you’ve got bare-bones third-party only cover—this one simply pays for damage you cause to someone else’s car or property. If your own car gets wrecked in the process? Well, that’s your problem.
Third-party, fire, and theft sits somewhere in the middle. It doesn’t pay for accident repairs to your own car if you were at fault, but it does step in if your car is stolen, hijacked, or damaged by fire. In other words, it covers two of the biggest financial nightmares that a budget car owner might face. OUTsurance’s version of TPFT follows this formula, which is why it’s become an attractive choice for people driving older, lower-value vehicles.
Why Budget Cars Deserve Protection Too
Here’s something that often gets overlooked: just because a car is inexpensive doesn’t mean losing it would be easy to bounce back from. In fact, for many South Africans, a modest car is the lifeline that makes work, study, or family responsibilities possible. It may be a 2008 Corolla with 250,000 km on the clock, but if it disappears one night, the financial hit can feel devastating.
I’ve heard people casually say, “If it’s just a cheap car, why insure it at all?” That’s a bit naïve, if you ask me. Theft rates don’t magically skip over older or more affordable cars. In fact, some budget models are more attractive to thieves because their parts are in high demand. Try replacing an engine part for a 2010 VW Polo after a theft incident—you’ll quickly realize that “cheap” is a relative term.
So the idea behind OUTsurance’s TPFT plan makes a lot of sense: you might not need comprehensive cover if repairing dents or scratches on your 15-year-old car doesn’t break the bank, but you absolutely need some kind of financial shield if the entire vehicle vanishes.
OUTsurance’s Approach: The Nuts and Bolts
When you look at OUTsurance’s TPFT plan, it comes across as pretty straightforward. The cover typically includes:
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Theft and hijacking protection: If your car is stolen or hijacked, OUTsurance pays out its insured value.
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Fire damage cover: Whether from a freak electrical fault or an external fire incident, you’re not left stranded.
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Third-party liability: This is critical. If you bump into someone else’s car or knock over their gate, OUTsurance covers the cost of those damages so you don’t end up in a financial spiral.
The simplicity is actually part of the appeal. There aren’t 100 subclauses about hailstorms or earthquake damage buried in the small print—it’s designed for clarity. That said, the simplicity can also be seen as a limitation. If you’re the kind of person who worries about every possible scenario, you might find the exclusions unsettling. For example, if you crash your own car and it’s your fault, TPFT won’t cover the repairs. That’s a risk you need to weigh carefully.
The Real-Life Scenarios That Make It Worth It
Let’s imagine a few common scenarios.
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Your car gets stolen from outside your flat
A friend of mine had a 2007 Ford Fiesta that she parked on the street because her complex didn’t have enough garages. One morning, it was gone—just like that. The police report was filed, but the car was never recovered. Because she had TPFT cover, the payout at least allowed her to put a deposit on another car. Without it, she would have been stuck with no transport and no way of affording a replacement. -
An electrical fire in the engine
Older cars sometimes come with quirky issues. A sudden wiring fault can lead to smoke and flames before you know it. If you’ve only got third-party-only insurance, you’re left footing the bill. With OUTsurance TPFT, that’s the kind of incident that falls within the scope of protection. -
Accident involving someone else’s property
You might think, “I’m a careful driver, so liability isn’t a big concern.” But even careful drivers have moments. Maybe you reverse into a neighbor’s gate while rushing to work. Replacing or repairing that gate could cost more than your car is even worth. Third-party liability cover ensures you don’t end up in a dispute—or worse, in debt—because of one mistake.
Where OUTsurance Stands Out (and Where It Doesn’t)
There’s no denying OUTsurance has a reputation for shaking up the South African insurance market. Their OUTbonus, cashback incentives, and quirky advertising campaigns are widely recognized. With the TPFT plan, though, the standout factor isn’t flashy marketing—it’s affordability matched with just enough peace of mind.
Still, there are areas where one could raise an eyebrow. Some customers argue that the premiums for TPFT aren’t always drastically cheaper than full comprehensive cover, especially for older cars where comprehensive premiums may already be lower. In those cases, paying a little extra for full cover might actually make more sense.
Another critique might be that TPFT gives a false sense of security. Drivers sometimes assume they’re “covered” for almost anything, but when an accident happens and they discover their own car repairs aren’t paid for, frustration sets in. It’s not so much that OUTsurance hides this information—the exclusions are clearly spelled out—but human psychology tends to gloss over limitations until reality bites.
Who Is It Really For?
If you’re driving a ten-year-old car that’s valued at, say, R70,000, and you don’t have the savings to replace it if it’s stolen, TPFT makes a lot of sense. You’re protecting yourself against catastrophic loss without overspending on monthly premiums. It also suits young drivers who are still paying off student loans, parents with multiple vehicles in the household, or anyone trying to keep costs manageable while still being responsible.
On the flip side, if you’ve got a newer car—even if it’s on the “affordable” side—it may be wiser to stretch for comprehensive cover. The gap in protection can be significant.
My Takeaway From Living With TPFT
I’ve personally driven with TPFT cover for years, and honestly, it’s been a mixed bag. On one hand, the lower premiums freed up money I needed for rent and groceries. I also slept better knowing that if my little car disappeared, I wouldn’t be left stranded. But there were also moments of worry. Every time I scraped a bumper or worried about hail damage, I felt that pang of, “Oh, right, I’m on my own for this one.”
It’s not perfect, but it’s practical. And sometimes, practicality is all you really need.
The Bigger Picture
Car insurance is never just about the car—it’s about the role that car plays in your life. For budget-conscious drivers, OUTsurance’s Third-Party Fire & Theft plan isn’t trying to sell dreams of luxury or unlimited protection. It’s trying to solve a very real, very grounded problem: how do you protect your lifeline when you can’t afford gold-plated coverage?
That question doesn’t have a universal answer, and maybe that’s the point. OUTsurance’s TPFT plan isn’t going to suit everyone. It appears designed with a specific type of driver in mind: one who values security against major loss but isn’t overly concerned with everyday bumps and bruises.
And if I’m being honest, that’s probably most of us at some stage in our driving lives.