Compulsory third party liability insurance (CTPL) varies depending on driving records

Beijing insurance supervisor bureau expressed that the new standard of compulsory third party liability insurance in the principle of "awarding disciplined and punishing undisciplined" would be enforced from 1st July. The supporting information platform had been established but the floating rate had not been specified yet.

The information platform is the prerequisite of CTPL. Last year Beijing Insurance Supervisor Bureau initiated to construct this platform by cooperating with insurance companies and traffic administration to collect the information about individual vehicle insurance and accident records.

In the future the information platform will generate the floating rate and finalized amount of individual vehicle insurance automatically with the help of shared information, according to which insurance companies charge.

Floating Compulsory third party insurance has been being effective in Shanghai where disciplined drivers will pay 70% of total amount while undisciplined drivers have to pay at most 170% insurance fee. So calculated by 1,050 Yuan each year, the former can save 315 Yuan and the latter should pay more 735 Yuan yearly.