Gasgoo Munich- Shenzhen has rolled out a new set of policies aimed at overhauling new energy vehicle (NEV) insurance. The "Ten Measures" initiative, jointly issued by several city departments, seeks to upgrade supporting services through product innovation and supply chain collaboration. Leveraging Shenzhen's massive NEV fleet, the move is designed to bolster the steady advance of the local EV sector.
Spearheaded by the Shenzhen Financial Regulatory Bureau in partnership with industry, transport, and commerce authorities, the policy focuses on two key product innovations: comprehensive insurance for autonomous driving and a modular "basic plus variable" insurance model.
Image Source: Shenzhen Release
To put these measures into action, local regulators have formed a dedicated NEV insurance task force. The group is working to bolster insurers' risk management and product development capabilities while deepening ties with automakers and battery suppliers. The goal is to launch a range of pilot insurance programs across the city.
Market data suggests a solid foundation for these reforms. In the first quarter of 2026, the number of commercial NEV insurance policies written in Shenzhen jumped 18.63% year-on-year. NEV policies now account for 30.91% of the city's total commercial auto insurance—the highest share among major Chinese cities—a testament to Shenzhen's leading pace of EV adoption.
Domestic NEV insurance has long struggled with rigid pricing, unclear liability for autonomous driving accidents, and complex battery damage assessments. The new "basic plus variable" model breaks away from fixed premiums, allowing costs to adjust dynamically based on mileage and usage scenarios. Meanwhile, specialized policies for smart driving will clarify coverage for high-cost components like LiDAR and onboard systems, helping to resolve liability disputes arising from vehicle intelligence.
On the industry front, Shenzhen's dense cluster of NEV makers and parts suppliers is driving rapid sales growth—and forcing insurance rules to catch up. Unlike traditional internal combustion engine vehicles, EVs often incur higher repair costs for batteries and smart components. The previous one-size-fits-all pricing model frequently led to mismatches between premiums and actual risk. By introducing layered product designs, the new regulations aim to balance insurer profitability with owner costs, correcting the long-standing imbalance in claims ratios.
