Third party vehicle insurance is the most basic insurance you are required to have by law.
It is usually the cheapest motor/car insurance option and will only cover damage sustained to the other driver's car in the event of an accident that is your fault. Third party insurance will not cover your own vehicle and, generally, most people will opt for third party cover when their car has a very low value.
Other car insurance options are third party with fire and theft cover, and fully comprehensive cover.
for further information visit Car and Motor Insurance.