How to Handle Insurance Transfer for Motor Vehicles?
2 Answers
After the transfer of a vehicle, the insurance company can be applied for policy cancellation or endorsement. The following are specific details: 1. Apply for cancellation: Cancel the original vehicle insurance and then apply for a new vehicle insurance policy on the Changwang Auto Insurance platform. This method allows the original owner to cancel the previous policy and deduct this part of the value from the vehicle price. Additionally, it is important to note that as the new owner, you will need a new vehicle registration certificate or proof of vehicle transfer to re-insure. 2. Endorsement: Make some changes to the original policy elements, primarily endorsing the insured and the owner. This requires specifying in the vehicle sales contract that the original owner must bring the policy and the vehicle transfer proof to the original insurance company's service outlet for processing. Otherwise, any resulting consequences will be borne by the original owner. Generally, the insurance company will process the endorsement upon receiving a written application. If the insurance company does not approve, it will notify the original owner to cancel the policy and refund the premium. The new owner can then deduct this part of the value from the vehicle price and choose another insurance company for coverage.
I remember the steps for handling car insurance during a transfer, so I’ll share my experience. Once I decided to sell the car, I contacted the insurance company with the buyer over the phone to explain the situation. The insurance company required copies of the vehicle’s transfer registration certificate, the ID cards and contact details of both the old and new owners, as well as the handover date. The key point is to check if there’s any remaining time on the compulsory insurance (交强险), which can be directly transferred to the new owner. For commercial insurance like car damage insurance (车损险), the new owner might need to reapply because the driver’s risk assessment changes. Don’t forget to handle the insurance transfer on the same day as the ownership transfer—delaying it could lead to complications if an accident occurs and the insurer refuses to cover it. Once, I forgot to notify the insurer, and the new owner didn’t process it in time, resulting in lapsed coverage and nearly causing a dispute after a near-accident. I recommend choosing a larger insurance company with standardized procedures—they usually complete the process in about two days, saving a lot of hassle. Stay calm throughout the process, communicate clearly with both parties, and ensure transparency in costs for transferring or reapplying for insurance—don’t risk bigger losses over small savings.
