Is It No Longer Necessary to Display the Compulsory Traffic Insurance Label on Vehicles?

[ColtonAnn]

If electronic insurance policies have been implemented locally, it is not necessary to display the compulsory traffic insurance label on the vehicle; if electronic insurance policies have not yet been implemented, the compulsory traffic insurance label must be displayed. According to Article 95 of the Road Traffic Safety Law: If a motor vehicle driven on the road does not display the inspection compliance label or insurance label, or does not carry the vehicle license or driver's license, the traffic management department of the public security organ shall detain the motor vehicle, notify the party to provide the corresponding license, label, or complete the necessary procedures, and may impose penalties in accordance with the provisions of Article 90 of this Law (a warning or a fine of not less than 20 yuan but not more than 200 yuan). As of 2022, the provinces and cities that have abolished the paper label for compulsory traffic insurance include: Beijing, Shanghai, Shandong, Shanxi, Guangdong, Henan, Hubei, Hunan, Jiangxi, Guizhou, Guangxi, Yunnan, Shaanxi, Hebei, Sichuan, and Gansu. Compulsory Traffic Insurance for Vehicles: The full name of compulsory traffic insurance is 'Compulsory Liability Insurance for Motor Vehicle Traffic Accidents.' It is a mandatory liability insurance where the insurance company compensates for personal injury, death, and property losses of victims (excluding vehicle occupants and the insured) caused by road traffic accidents involving the insured motor vehicle within the liability limits. The premium is based on the nationally unified standard rates. However, the price of compulsory traffic insurance varies for different vehicle types, mainly influenced by the number of vehicle seats. Compared to the more than 20 exemption clauses in commercial third-party insurance, the exemption scope of compulsory traffic insurance covers losses caused by intentional actions of the victim, property losses of the insured, related arbitration and litigation costs, and some indirect losses caused by accidents, with a much broader coverage. Moreover, regardless of whether the insured vehicle is at fault in the accident, compulsory traffic insurance will compensate within the liability limits, with no deductible or exemption. 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 formal written proof of the insurance contract between the insurer and the insured. The policy must fully record the rights, obligations, and responsibilities of both parties to the insurance contract. The content recorded in the 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; Time-saving and convenient, unrestricted by time or location, with information universally accessible online at any time, fast and easy; Allows for reissuance and resending, eliminating worries about loss. If a paper version is needed offline, it can be printed or mailed; Easy management, as electronic unification makes it convenient for insurance companies and traffic police departments to manage the insurance information of various vehicles.

[StAva]

We started using electronic insurance policies two years ago, and it feels really comfortable having a clean windshield without any stickers. In the past, we had to struggle with putting up that label every year, and the adhesive would leave marks. However, you need to be careful when traveling out of town. Last month, a neighbor went on a road trip to a neighboring province and got pulled over because the system couldn’t find their electronic record. It’s advisable to keep a screenshot of your electronic policy on your phone. Locally, you don’t need to display a sticker, but for long-distance trips, it’s best to check the local policies in advance, as some places are still in a transition period. Insurance companies’ apps can now generate electronic certificates, which are much more convenient than stickers. If you encounter a check, just show your phone, and the response is much faster than with a paper version.