Easiest way to get your compulsory third party liability insurance (CTPL)

By: Sales and Marketing Dept.
June 15, 2020

LTO offices and across the country, especially in NCR, have started accepting car registration again. With that, you need to get your CTPL insurance as required by LTO.

In line with this we would like to give you a run down of your CTPL insurance policy coverage

1. What is CTPL?

According to Paragraph (c) of Section 386, Chapter VI of the Insurance Code of the Philippines: “A third party is any person other than a passenger as defined in this section and shall also exclude a member of the household, or a member of the family within the second degree of consanguinity or affinity, of a motor vehicle owner or land transportation operator, as likewise defined herein, or his employee in respect of death, bodily injury, or damage to property arising out of and in the course of employment.”

Having a Compulsory Third Party Liability Insurance can help cover expenses due to liability against accidents to a “third party” The compensation is around P100,000.00.

Here are some of the benefits provided by a compulsory third-party liability insurance.

Death Indemnity
CTPL providers offer a cash benefit of a minimum of P70,000 to the third-party person in case of death

Body Injuries and Fractures
CTPL insurers provide hospital cash benefit to the third-party person in the event of hospitalization. These benefits include hospital and operating rooms, surgical expenses, drugs and medicine, and ambulance service, among others.

Permanent Disablement
A cash benefit is provided to a third-party person in the event of dismemberment. Each body part corresponds a certain amount of cash benefit. For example, if the person loses sight of both eyes, he/she can get a cash benefit amounting to P50,000 while if the loss of one eye, the cash benefit will be P20,000.

Tips: Make sure to get your CTPL policy with a trusted insurance broker. Why? So incase of an accident you can rely on someone to assist you and know what they are doing.

2. Where to buy CTPL?

Some LTO branches has stalls/vendors inside that sells CTPL. However to be sure you can purchase your CTPL policy online, just make sure you purchase in advance before your car registration expires.

Tips: Purchase your CTPL policy in advance at least 1-2 days to avoid any delays in your car registration.

3. How much does it cost?

This is the actual rate that GIBCO offers, though prices vary depending on where you buy. For some, a CTPL policy for a private vehicle can go up as high as P1,000.00

Type of Vehicle Private Vehicle Commercial Vehicle Truck Motorcycle
Sedan/AUV/SUV/Jeep Light to medium trucks, not over 3,930 kgs. Heavy truck and private bus, over 3,930 kgs. Motorcycles/tricycles/trailers
Basic Premium 447.11 487.03 958.08 199.60
DST 55.89 60.88 119.76 24.95
VAT 53.65 58.44 114.97 23.95
Authentication Fee 50.40 50.40 50.40 50.40
LGT 3.35 3.65 7.19 1.50
Net Premium 610.41 660.41 1,250.40 300.40

*Rates are subject to change upon advice from insurance companies

Need CTPL policy? Click here to purchase