More insurers join China's insurance platform for new energy vehicles

BEIJING - A total of 22 insurance companies officially joined on Friday an insurance platform dedicated to ensuring proper coverage for new energy vehicles (NEVs) in China.

This is the second batch of insurers enlisted on the platform, according to the Insurance Association of China and the Shanghai Insurance Exchange. Launched on Jan 25, the platform has already welcomed 10 property insurance companies in its initial batch.

For years, NEV owners in China have struggled with high premiums and the risk of being denied coverage, while insurers have been burdened by mounting financial losses due to the high repair costs of NEVs.

China launched its first-ever guidelines for insuring NEVs in January to address these challenges. Under these guidelines, insurers participating in the platform are not allowed to deny coverage.

As of Feb 25, the insurance platform had successfully helped 114,000 NEV units get insured, a significant step in China's efforts to strengthen insurance support for the growing NEV sector.

Official data showed the number of NEVs in use in China had reached 31.4 million by the end of 2024.