Comprehensive reform of auto insurance starts the new policy, and consumers get benefits.

　　Yesterday, the "Guiding Opinions on Implementing Comprehensive Auto Insurance Reform" issued by China Banking and Insurance Regulatory Commission of China was officially implemented, and the new auto insurance systems of Ping An Property Insurance, PICC Property Insurance and Pacific Property Insurance were also officially launched, and the first orders were released one after another.

　　It is worth noting that the new insurance policy for car owners can enjoy the benefits of protecting and raising the premium, but for car owners who have already purchased auto insurance before, the old and new insurance policies for compulsory insurance will be implemented according to the new liability after September 19, that is, the total insurance coverage of compulsory insurance will be increased from 122,000 yuan to 200,000 yuan.

　　Ping An Property Insurance’s First Policy

　　Guarantee, increase, premium, decrease, 400 yuan.

　　At 0: 01 on September 19th, Mr. Lu, the owner of Ping An Property & Casualty from Shanghai, got a new insurance policy for his car with a premium of 1944.25 yuan. This is the first new policy signed by Ping An Property & Casualty after the comprehensive reform of auto insurance.

　　In view of the first comprehensive reform of auto insurance, the sales staff of Ping An Property & Casualty calculated an account: the premium of Mr. Lu’s car in 2019 was 2,352.60 yuan, and the insurance coverage included motor vehicle loss insurance, third party liability insurance, excluding deductible insurance (motor vehicle loss insurance). When applying for insurance this year, special terms for additional motor vehicle road rescue and value-added services for inspection were added. The degree of customer risk protection has been greatly improved, but the premium expenditure has decreased by 408.35 yuan compared with the previous year, with a decrease of 17.36%.

　　Earlier, the relevant person in charge of China Banking and Insurance Regulatory Commission said in an interview with the media that after the comprehensive reform of auto insurance is implemented, consumers can achieve "three basics" in the short term, that is, "prices basically only go down but not up, security basically only goes up, and service is basically excellent and not bad".

　　Specifically, first, the liability limit for compulsory insurance has been greatly increased; Second, the liability of commercial auto insurance is more comprehensive; Third, commercial auto insurance products are more abundant; Fourth, the price of commercial auto insurance is more scientific and reasonable; Fifth, the marketization level of auto insurance products is higher; Sixth, the coefficient of preferential treatment without compensation is further optimized. These will greatly enhance consumers’ sense of gain.

　　After adjustment, consumers get benefits

　　The amount of compulsory insurance coverage will be raised to 200,000 yuan.

　　What benefits do consumers get? The Beijing Youth Daily reporter learned that, first, the amount of auto insurance coverage has been further improved: the adjusted total amount of compulsory insurance coverage has been increased from 122,000 yuan to 200,000 yuan, of which the compensation limit for death and disability has been increased from 110,000 yuan to 180,000 yuan, the compensation limit for medical expenses has been increased from 10,000 yuan to 18,000 yuan, and the compensation limit for property losses has remained unchanged at 2,000 yuan. The amount of non-liability insurance is adjusted according to the same proportion, in which the compensation limit for death and disability is increased from 11,000 yuan to 18,000 yuan, the compensation limit for medical expenses is increased from 1000 yuan to 1,800 yuan, and the compensation limit for property losses remains unchanged in 100 yuan.

　　Second, car owners can enjoy lower discounts: the Interim Measures for Floating Compulsory Insurance Rates for Motor Vehicle Traffic Accident Liability divides the new compulsory insurance discounts into five categories. Among them, Beijing, Tianjin, Hebei and Ningxia can enjoy a minimum discount of 6.5%. In the case of basically not increasing the premium expenditure, consumers can get more protection when buying car damage insurance. In addition, seven insurance liabilities, such as theft, glass breaking alone, spontaneous combustion, engine wading, excluding the odds, designated repair shop and inability to find a third party, have been added on the basis of the original protection, that is, the above insurance liabilities originally required additional insurance, and after the reform, they are all covered by car damage insurance, so consumers do not need to pay extra premiums.

　　Third, the comprehensive auto insurance reform policy has deleted some exemption agreements, such as earthquakes and their secondary disasters. So far, China’s auto insurance products have basically covered major catastrophe risks such as earthquakes, typhoons and floods. At the same time, the accident liability exemption rate is deleted, and the automobile accident liability exemption rate in the existing clauses is cancelled, which makes consumer protection more adequate and is conducive to reducing claims disputes.

　　The limit of commercial three-liability insurance is raised from 50,000 to 5 million yuan to 100,000 to 10 million yuan, and consumers can buy higher three-liability insurance to improve protection.

　　Auto insurance has long been the largest business in the field of property insurance, with fierce competition and high dependence on intermediary channels. According to data from China Banking and Insurance Regulatory Commission, in 2019, China’s auto insurance covered 260 million motor vehicles, with a premium income of 818.9 billion yuan, accounting for 63% of property insurance premiums.

　　In 2015 and 2017, there were two rate reforms in the field of commercial auto insurance. Every time before the formal implementation of the reform, some insurance company salesmen or intermediary salespeople take advantage of consumers’ fear of rising premiums and misinterpret policies, often misleading sales to achieve the purpose of signing bills.

　　The auto insurance reform is positioned as a comprehensive reform, with the goal of "reducing prices, increasing insurance and improving quality", covering compulsory insurance and commercial auto insurance, terms and rates, products and services, etc., pointing directly at the chaos in the auto insurance market.

　　The old and new compulsory insurance policies started yesterday.

　　According to the new amount of responsibility.

　　The reporter of Beiqing Daily learned from Ping An Property & Casualty Insurance Beijing Branch that for the implementation interval of the comprehensive reform period of auto insurance, China Banking and Insurance Regulatory Commission’s Announcement on Adjusting the Liability Limit and Rate Floating Coefficient for Compulsory Traffic Insurance stipulated the switching time and transition arrangement, and made it clear that if a road traffic accident occurred after 0: 00 on September 19, 2020, the new and old compulsory traffic insurance policies would be implemented according to the new liability limit.

　　This reform combines the comprehensive payout ratio level of compulsory insurance in various regions, and introduces regional floating factors into the adjustment coefficient of road traffic accident rates; At the same time, the coefficient of preferential treatment for commercial auto insurance without compensation is further optimized. After the implementation of the reform, the preferential coefficient of commercial auto insurance without compensation will expand the scope of considering payment records from the previous year to the first three years, and the rate increase will be reduced for consumers who accidentally pay compensation. For car owners who have not paid compensation and have good driving habits, car insurance will get more concessions in the next year.

　　Therefore, it is recommended that car owners drive safely and do not interrupt commercial insurance. If the insurance is interrupted, the continuous insurance period will be recalculated, which will not only guarantee the interruption, but also enjoy the low discount. Text/Reporter Yan Lishuang Coordinator/Yu Meiying

　　focus

　　China Banking and Insurance Regulatory Commission: It is expected that the actual signing premium of consumers will drop significantly.

　　Strong insurance should be insured and renewed in time.

　　According to industry insiders, compulsory insurance is a national statutory compulsory insurance, and motor vehicles must be insured for compulsory insurance on the road. Although the preferential intensity of compulsory insurance has become greater after the reform, if the compulsory insurance for car owners expires before the implementation of the reform, or if a new car is to be driven on the road before the reform, it must be insured and renewed in time.

　　For car owners who took out compulsory insurance before the reform, coping with risks is still guaranteed.

　　After the reform, the coverage of vehicle damage insurance has been expanded.

　　At present, there are many kinds of commercial auto insurance on the market, including main insurance and additional insurance. Among them, the main insurance can be insured separately, and the additional insurance is voluntarily selected and matched by consumers according to their actual conditions.

　　After the comprehensive reform of auto insurance, on the basis of the existing insurance liability, the main insurance clause of car damage insurance has increased the insurance liability of vehicle theft, glass breakage, spontaneous combustion and engine wading.

　　To put it simply, the coverage of car damage insurance has been expanded, and the above insurance liabilities have been expanded. These insurance liabilities originally belonged to additional risks, and all of them have been included in the main insurance after the reform.

　　This reform has also deleted the exemption clauses that easily lead to claims disputes in practice, such as earthquakes and their secondary disasters. So far, China’s auto insurance products have basically covered major catastrophe risks such as earthquakes, typhoons and floods.

　　Sun Jianping, Chairman and CEO of Ping An Property & Casualty Insurance, believes that the reform measures have fully considered the risks and pain points faced by consumers when using automobiles, deleted the liability exemption items, expanded the insurance liability, and strived for comprehensive coverage, which can better meet the multi-level and diversified risk protection needs of consumers.

　　Seriously investigate and deal with violations of laws and regulations

　　The person in charge of the relevant departments in China Banking and Insurance Regulatory Commission said that the reform lowered the upper limit of the surcharge rate for commercial auto insurance products from 35% to 25%, and it is expected that payout ratio will increase from 65% to 75%. After the reform, the benchmark premium price of commercial auto insurance will drop significantly, and it is expected that the actual signing premium of consumers will also drop significantly. The person in charge said that China Banking and Insurance Regulatory Commission will strengthen the monitoring of the auto insurance market, severely investigate and deal with violations of laws and regulations, and ensure a stable and orderly market before and after the reform.