How Long Does the Mandatory Traffic Insurance for New Cars Last?

[ManuelDella]

Motor vehicle mandatory traffic insurance is generally valid for one year. Upon expiration of the insurance contract, the policyholder should promptly renew the coverage. Below is an introduction to mandatory traffic insurance: Definition of Mandatory Traffic Insurance: Mandatory traffic insurance is a compulsory insurance in China that all vehicles must purchase. In the event of a traffic accident, the insurance company can only compensate the party that was hit, meaning the conditions for compensation are limited. Additionally, without mandatory traffic insurance, a vehicle will lose its eligibility for annual inspection. Precautions for Expired Mandatory Traffic Insurance: If you are caught driving with an expired mandatory traffic insurance policy by traffic police, your vehicle may be impounded, and you may face a fine of double the insurance premium. Once the insurance expires, the vehicle is considered uninsured. In such cases, if an accident occurs, the insurance company will not provide compensation. Therefore, it is crucial to renew the insurance in a timely manner.