Can compulsory traffic insurance be refunded after selling the car?
2 Answers
Compulsory traffic insurance cannot be refunded, but commercial insurance can. More extended information is as follows: The "Compulsory Traffic Insurance Regulations" stipulate that compulsory traffic insurance cannot be refunded in principle. The only situation where a refund is possible is when the vehicle is sold to another location, and the new owner purchases another compulsory traffic insurance policy locally. At that time, the new owner can take their identity proof, vehicle license, transfer procedures, and the newly issued compulsory traffic insurance policy to the original owner's insurance company for a refund. However, since compulsory traffic insurance follows the vehicle rather than the person, the simplest method is to only process the compulsory traffic insurance transfer, as it is applicable nationwide. Timely transfer of commercial auto insurance: It is best to transfer commercial auto insurance promptly. If the transfer is within the same city, the policy details need to be updated, which requires both the new and original owners to bring the original policy, ID cards, vehicle license, and transfer proof to the original insurance company for processing. If not transferred in time, both the new and original owners must be present for claims settlement in case of an accident.
After selling the car, you can apply for cancellation of the compulsory traffic insurance. I did exactly that when I sold my car last time. You need to prepare materials such as a copy of the vehicle sales contract, the original vehicle registration certificate, and your ID card, then submit the cancellation request either at the insurance company's office or through their online app. They calculate the remaining premium based on the days you've used, deduct a small handling fee, and usually refund some money. Remember to do it early and don't delay too long, otherwise the insurance company might say the procedure has expired. However, an easier way is to negotiate with the new owner before selling the car and directly transfer the policy, which saves trouble for both parties. I've reminded many friends about this—don't assume the insurance automatically cancels; skipping this step could cost you money. Overall, canceling the insurance is quite simple, but don't expect a full refund since you've used it for a while. Always pay attention to these details when driving to avoid future hassles.
