What are the mandatory car insurances to purchase?

1 Answers
VonGrace
07/29/25 7:00pm
Car insurance must include compulsory traffic insurance, third-party liability insurance, vehicle damage insurance, theft insurance, passenger liability insurance, scratch insurance, spontaneous combustion insurance, and water damage insurance. Below is some extended information about car insurance: 1. Compulsory Traffic Insurance: This is mandatory by the state. For vehicles with fewer than 7 seats, the first-year premium is usually 950, decreasing by ten percent annually, with a minimum of 655. If a claim is made, the premium resets to 950. Additionally, the vehicle and vessel tax is paid together with the compulsory traffic insurance: 240 yuan for engines below 1.0L and 420 yuan for those above 1.0L. 2. Commercial Insurance: This is optional and includes vehicle damage insurance, third-party liability, theft, spontaneous combustion, and passenger liability. Vehicle damage insurance can also include additional coverage such as separate glass breakage and body scratches!
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