What Does Passenger Liability Insurance Mean, and Do I Need to Purchase It?
4 Answers
Passenger liability insurance is one of the main types of commercial vehicle insurance, and the owner can decide whether to purchase it based on their needs. Below is some information about passenger liability insurance: 1. Definition: Passenger liability insurance, also known as seat insurance, covers accidental incidents involving the insured vehicle that result in injuries or fatalities to the driver or passengers. The insurance company will provide compensation according to the terms of the passenger liability insurance policy. 2. Features: When purchasing seat insurance, you can choose the coverage based on your needs and consider your actual circumstances. Seat insurance is a mandatory industry requirement for vehicles engaged in passenger transport and is a highly necessary insurance beyond compulsory traffic insurance. Seat insurance is divided into 20 tiers, and the higher the coverage, the greater the potential compensation.
To be honest, I didn't understand what passenger liability insurance was at first, until an insurance company friend explained it to me. Simply put, if passengers in your car get injured in an accident while you're driving, this insurance covers their medical expenses. It's especially suitable for those who frequently take colleagues on business trips or families who drive their kids around. I added this coverage last year since medical costs aren't cheap these days. But if you usually drive alone, you might as well save this expense. Before buying, check your policy—some comprehensive insurance packages already include similar coverage.
I've been driving long-distance passenger transport for over a decade, and passenger liability insurance is a must-buy. Last year during rainy weather, a sudden brake caused a rear-seat passenger to hit their forehead, requiring three stitches, and this insurance covered over 8,000 yuan in medical expenses. The biggest difference from compulsory traffic insurance is that it covers people in your own vehicle, including family members or friends who hitch a ride temporarily. The premium per seat ranges from tens to hundreds of yuan, calculated based on the number of seats. If you often travel with elderly or children, I highly recommend adding it, especially for taller SUVs that are more prone to bumps.
Our team's newcomers often ask whether they should purchase passenger insurance, which depends on the specific situation. Ride-hailing drivers or those who frequently take clients to view properties should definitely get it, while it's less critical for regular office workers who commute alone. Here's a lesser-known fact: even injuries from passengers falling on their own are covered. Premiums are usually calculated per seat, ranging from 50-150 RMB per year for economy cars, with luxury vehicles being slightly more expensive. However, it's important to note that coverage only applies to accidents while the vehicle is in motion—incidents like hitting a pedestrian when opening the door while parked are not included.
