Is Compulsory Traffic Insurance Automatically Transferred During Vehicle Ownership Transfer?

[KathrynLee]

If the compulsory traffic insurance purchased by the original vehicle owner follows the vehicle, it will be transferred to the new owner upon vehicle ownership transfer. If the compulsory traffic insurance does not follow the vehicle, the owners will need to go to the insurance company to complete the transfer procedures for the vehicle insurance. The owner needs to prepare the vehicle registration book, the new owner's driving license, copies of the new and old owners' ID cards, the invoice issued during the used car transaction, and the amendment application form provided by the insurance company to complete the transfer of compulsory traffic insurance. Important Notes Once a used car is purchased, promptly complete the transfer procedures for compulsory traffic insurance and other insurances. Otherwise, in the event of an accident, the beneficiary will be the original owner, and the new owner will not be able to receive compensation. Compulsory Traffic Insurance for Vehicles: The full name of compulsory traffic insurance is "Compulsory Motor Vehicle Traffic Accident Liability Insurance." It is a mandatory liability insurance where the insurance company compensates for personal injuries, deaths, and property losses of victims (excluding vehicle occupants and the insured) within the liability limits caused by road traffic accidents involving the insured vehicle. The premium is based on the nationally unified standard rates. However, the prices of compulsory traffic insurance vary for different vehicle types, mainly influenced by the number of car seats. Compared to the over 20 exemption clauses in commercial third-party insurance, compulsory traffic insurance covers a much broader range, including losses caused by intentional actions of the victim, the insured's own property losses, related arbitration and litigation costs, and some indirect losses caused by the accident. Moreover, regardless of whether the insured vehicle is at fault in the accident, compulsory traffic insurance will compensate within the liability limits without any deductible or exemption rate. Introduction to Electronic Insurance Policies An electronic insurance policy refers to an electronic policy issued by an insurance company using digital signature software and enterprise digital certificates that comply with the PKI system, bearing the electronic signature of the insurance company. An insurance policy, abbreviated as a policy, is the official written proof of the insurance contract between the insurer and the insured. The insurance policy must fully record the rights, obligations, and responsibilities of both parties to the insurance contract. The content recorded in the insurance policy serves as the basis for both parties to fulfill the contract. The insurance policy is proof of the establishment of the insurance contract. Advantages of Electronic Insurance Policies: Saves paper resources, eliminating the need to print insurance proof labels; Saves time and is convenient, not restricted by time or location, with information universally accessible online anytime, quickly and easily; Allows for reissuance and resending, eliminating worries about losing it. If a paper version is needed offline, it can also be printed or mailed; Facilitates management. After electronic unification, insurance companies and traffic police departments can more easily manage the insurance information of various vehicles.

[VonSamantha]

After driving for a while, you'll realize that compulsory traffic insurance doesn't automatically transfer during vehicle ownership changes. The original owner generally has no obligation to handle insurance modifications when selling the car - the new owner must personally visit the insurance company to complete the transfer procedures after taking over. I remember when I last sold a car to a friend, I reminded him to immediately take the new vehicle license and ID card to the insurance company's counter to update the information. Don't delay, because if an accident occurs and the insurance company refuses to acknowledge it, you'll be in big trouble. It's best to confirm the insurance status with the original owner before the transfer to avoid future problems. Handling it promptly not only avoids potential fines but also ensures safe driving on the road. In short, safety comes first - don't expect the process to happen automatically to save effort.

[ValerieFitz]

When I first bought a used car, I was confused and thought the insurance would automatically transfer with the car. In fact, compulsory traffic insurance doesn't have this function. The new owner must actively contact the insurance company to apply for the transfer, providing the transfer certificate and the new owner's ID. This can be done quickly over the phone or online, and delaying it for a few days could cause problems. I recommend prioritizing this after buying a car to protect yourself from losses in case of an accident. It's important to always keep vehicle documents updated for legal and worry-free driving.

[MacDakota]

It is common for new car owners to forget to transfer insurance after vehicle ownership transfer. Under the compulsory traffic insurance system, the policy does not automatically transfer. The new owner must bring the required documents to the insurance company to complete the transfer process. Although the procedure is simple, it is essential to prevent insurance invalidation or disputes.