How to Purchase Compulsory Traffic Insurance After a One-Year Lapse?
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For a compulsory traffic insurance that has lapsed for one year, there is no need to make up the missed payments; you can purchase it directly, and it will take effect the next day. According to the 'Compulsory Traffic Insurance Regulations,' all owners or managers of motor vehicles driven on roads within the territory of the People's Republic of China must purchase compulsory traffic insurance. If the owner or manager of a motor vehicle fails to purchase compulsory traffic insurance as required, the traffic management department of the public security organ has the authority to detain the vehicle, notify the owner or manager to purchase the insurance in accordance with the regulations, and impose a fine of twice the amount of the insurance premium that should have been paid. The following is an introduction to the types of comprehensive auto insurance: 1. Traffic Insurance: The full name is Compulsory Traffic Accident Liability Insurance. The insurance company compensates for personal injuries, deaths, and property losses of victims (excluding cyclists and the insured) caused by road traffic accidents involving the insured vehicle within the liability limit. 2. Third-Party Liability Insurance (abbreviated as TPL Insurance): The full name is Commercial Third-Party Liability Insurance. It refers to the compensation amount that the insured should pay according to the law for accidental incidents caused by a qualified driver permitted by the insured while using the insured vehicle, resulting in bodily injury, death, or direct property damage to a third party. The insured compensates according to the relevant provisions in the insurance contract. 3. Auto Damage Insurance: This refers to commercial auto insurance where the insurance company compensates within a reasonable range for damage to the insured vehicle caused by an insurance incident while the insured or a permitted driver is operating the insured vehicle. Auto Damage Insurance and Third-Party Liability Insurance are the basic insurances for vehicles, mainly covering the loss of the insured vehicle and the loss caused to a third party during the use of the insured vehicle. 4. No-Claim Insurance: The full name is No-Claim Discount Special Clause, which is an additional insurance to commercial insurance (Auto Damage Insurance or Third-Party Liability Insurance). As an additional insurance, No-Claim Insurance must be purchased alongside the main insurance and cannot be purchased separately. Its insurance liability usually refers to special agreements.
