Insurance is not what you want to buy, you can buy if you want to buy - refrigerated car insurance is not sold!

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"Insurance is not something you want to buy, you can buy if you want to." Recently, many industry colleagues feedback: in addition to the traffic insurance of refrigerated trucks, other commercial insurance can not be handled. Moreover, this shocking and cruel fact has been unanimously confirmed by Tian'an, PICC and Ping An Auto Insurance.

@Source: Network public data collation

Refrigerated trucks belong to special vehicles, which is what we often call special vehicles, refrigerated trucks belong to the second type of special vehicles, and road transport permits need to be processed according to regulations. Its structure is different from the general ordinary truck, which is composed of three major parts: the chassis of the motor vehicle, the refrigeration box and the refrigeration unit.

01

What are the risks of refrigerated trucks not buying commercial insurance?

Motor vehicle insurance refers to the act of the owner of a motor vehicle transferring the risks that he may encounter and the losses he may encounter to the insurance company through the contract and by paying the insurance premium.

Car insurance is a type of property insurance. Among them, the main types of insurance included in automobile insurance are: compulsory insurance for motor vehicle traffic accident liability (compulsory traffic insurance) and comprehensive commercial insurance for motor vehicles (commercial insurance).

Among them, compulsory traffic insurance is not allowed to refuse insurance, and if there is an insurance company that refuses to cover compulsory insurance for normal vehicles, it can complain to the Banking and Insurance Regulatory Commission.

For the commercial insurance part, since it is not a national compulsory insurance, insurance companies can organize and carry out relevant business according to their own business conditions. The insurance that cannot be bought by the refrigerated truck discussed above is the commercial insurance part.

If you don't buy commercial insurance, what are the risks for everyone?

　 There are huge operational risks for transport enterprises;

　 Drivers and related personnel are at greater safety risk;

　 Compulsory traffic insurance is not enough to compensate for losses, resulting in impact on social stability;

　 Vehicle safety is difficult to guarantee;

　 Not conducive to the asset management of large transport companies;

So, refrigerated car insurance can not be bought with money, what is the reason for it? Through the collation of public information and communication with relevant participants, the reasons for preliminary sorting out are as follows:

02

Why refrigerated truck insurance can't be bought with money

(1) The reform of automobile insurance, coupled with the excessive proportion of reimbursement for refrigerated vehicles

The comprehensive reform of auto insurance in 2020, this reform takes into account the ideas of many car owners, and basically determines three contents: reduced costs, increased claims, and better services. In other words, refrigerated trucks are special vehicles, the compensation is too high, and the big data inside the insurance company shows that the proportion of reimbursement related to refrigerated trucks is too high, so the insurance company would rather give up this part of the business than bear the risk of loss.

After the reform, the commercial insurance part is more comprehensive.

After the PART 1 car reform, the insurance type of commercial motor insurance was changed from 4 main insurance + 11 additional insurance to 3 main insurance + 11 additional insurance. Among them, the designated repair shop insurance in the additional insurance was deleted, the remaining five additional insurance and one main insurance were merged into the car damage insurance, and six new additional insurance were added.

Source: @Xueba Said Bao

Part 2 Compared with the past, the description of insurance liability is more simplified, and the main underwriting liability is directly changed to "direct loss of the insured motor vehicle due to natural disasters and accidents".

Natural disasters and accidents here are defined as follows:

3. Source: @Xueba Said Bao

Part 3 obligations have increased, and the corresponding exemption clauses have also been deleted and revised.

Summary The comprehensive reform of motor insurance has been adjusted from the aspects of protection responsibility, protection amount, coverage scope, and insurance cost. It has been realized in a down-to-earth manner: prices have basically only dropped and not risen, guarantees have basically only increased and not decreased, and services have basically only been excellent. Practically provides further protection for the rights and interests of consumers.

(2) The supervision and evaluation system is not perfect, the technical structure of the refrigerated truck is too professional, and there is a large difference between the fixed loss and the actual maintenance

For the refrigeration vehicle after the insurance, for the refrigeration unit, the box in the maintenance and loss determination process, due to the different box manufacturing processes, the box maintenance price of different manufacturers varies greatly, the spare parts of the refrigeration unit are different, the price difference is also larger, and the lossier is not comprehensive in the profession, resulting in a large dispute between the loss determination and the damaged party.

Take the Model Clauses of Motor Vehicle Loss Insurance of the China Insurance Association (Comprehensive) as an example.

The requirements for insurance liability, exclusion of liability and treatment of compensation in the document are as follows:

It is not difficult to see from the above figure that the car damage insurance can provide protection for the insured motor vehicle and the listed insurance equipment in the loss caused by natural disasters and accidents.

Compared with ordinary trucks and passenger cars, refrigeration units and boxes of refrigerated trucks involve more professional and complex equipment and structures, and it is more difficult for insurance companies, 4S and automobile repair shops to judge accident losses.

For example, in the failure of refrigeration truck refrigeration unit, in addition to the refrigerator manufacturer, it is difficult for automobile maintenance workers to determine whether the refrigerator is faulty, the severity of the failure, and whether it is a failure caused by an accident or natural disaster.

Another example is the insulated carriage, after the collision, even if the appearance is not excessively damaged, the internal insulation material structure may also be structurally damaged, resulting in a decrease in thermal insulation performance. At the same time, it is difficult to effectively define such thermal insulation performance.

At the same time, in the document, there is no clear explanation for the definition and judgment of functional standards, which is also easy to cause the inability to accurately determine the liability determination in the accident, and there will be greater risks for the confirmation of the final underwriting result and the insurer and the insurance company.

This is also one of the main reasons for the high proportion of insurance accidents in the history of refrigerated vehicles.

Tips: Internal historical big data

In the process of communication between the small partners of the Cold Chain Committee Research Center of the China Federation of Things and the insurance company, the major insurance companies also mentioned that the internal big data showed that the historical loss rate of refrigerated trucks was too high, so they did not carry out related business for the time being. So what exactly is the concept of internal historical big data that they are referring to? According to the research center of the Cold Chain Committee of the China Federation of Things, each insurance company has the relevant records of the annual insurance data of all insurance types, and the actuarial department of the insurance company will calculate the operation of various insurance products according to this part of the historical data, and will upgrade and adjust the products according to the final calculation results.

(3) The existing insurance clauses are insufficiently evaluated for refrigerated trucks and cold chain logistics business

At this stage, refrigerated trucks are defined as special vehicles, insurance companies do not understand the actual trucks and application scenarios of refrigerated trucks, and at the same time, in the case of the high proportion of refrigerated truck insurance in the early stage, insurance companies have chosen not to accept this part of the business, which also causes the insurance industry to have a cognitive bias in the actual business of refrigerated trucks, too pessimistic about the refrigerated truck insurance business, and ultimately causes refrigerated truck insurance to be difficult.

In addition to the above-mentioned Model Clauses for Motor Vehicle Loss Insurance of the China Insurance Association (Comprehensive Type), there are such problems as unclear standards and requirements due to insufficient understanding of professional knowledge and business scenarios. Such problems also exist in the relevant freight insurance for the transportation of cold chain goods.

In the process of data collation, the Research Center of the Cold Chain Committee of the China Federation of Things collected the "Fresh Cold Chain Logistics Insurance Clauses" issued by the Chinese People's Insurance Institute. In the document, the requirements for the specific subject goods, insurance liabilities, the obligations of the insured and the insured, and the treatment of compensation are explained, as follows:

It is not difficult to see from the above provisions that the overall document gives specific requirements for the subject goods, insurance liability, compensation price and compensation declaration process materials. However, for the specific judgment standards, requirements and professional judgment institutions of each category, more detailed explanations have not been given.

Cold chain goods involve multiple categories, and the evaluation and judgment methods of each category are different, making it difficult to give a unified judgment standard. At the same time, there are currently no official delivery and quality assessment standards or official agencies in the industry. The above problems are prone to disputes and deviations in the process of cold chain goods liability and amount determination.

(4) The accident rate of new energy is still high, and the maintenance cost is high

It is understood that the insurance compensation rate of new energy vehicles generally exceeds 85%. At the same time, compared with traditional energy vehicles, new energy has a higher safety risk and a greater risk probability for other trucks. At present, refrigerated trucks are also promoting the development of new energy, and in the case of refrigerated vehicles + new energy, it is even more difficult to purchase insurance.

On December 14, 2021, the China Insurance Industry Association issued the Exclusive Clauses for Commercial Insurance for New Energy Vehicles (Trial Implementation) (hereinafter referred to as the "Clauses"), which consists of the Model Clauses for Commercial Insurance for New Energy Vehicles (Trial) and the Model Clauses for Accident Injury Insurance for Drivers and Occupants of New Energy Vehicles (Trial).

The highlights of the "Clauses" are mainly reflected in three aspects: first, the diversification of insurance scenarios, such as the development of "Self-use Charging Pile Loss Insurance" and "Self-use Charging Pile Liability Insurance" in combination with the characteristics of charging and use of new energy vehicles, focusing on solving the risks arising from auxiliary facilities in the application of new technologies; the second is the customization of insurance liability, highlighting the structural characteristics of the "three electricity" systems such as new energy vehicle batteries and energy storage systems, motors and drive systems, and expanding the scope of protection to vehicle-specific use scenarios, such as self-service charging, special vehicle engineering operations, etc The third is the humanization of insurance protection, combined with the risk design of the charging process of new energy vehicles "Additional External Grid Fault Loss Insurance", which covers vehicle losses caused by external power grid transmission and transformation failures, current and voltage abnormalities, etc.

In general, on the basis of traditional comprehensive insurance, the Regulations include batteries and energy storage systems, motors and drive systems, and other control systems into the scope of car insurance protection, and if there are problems in different scenarios such as vehicle use, parking, charging, etc., insurance companies will settle claims and provide more comprehensive protection.

After the release of the Regulations, the most direct experience is that the premium of new energy vehicle insurance has risen. On the basis of the improvement of the guarantee of this version of the Regulations, coupled with the high historical data of the failure rate of new energy vehicles and the high value of the "three electricity" system of new energy vehicles, the premiums of new energy vehicles have further driven the rise in premiums of new energy vehicles. If a large manufacturer endorses the guarantee of battery differentiation, it is recommended to give a premium discount.

Based on this, in order to alleviate the operational pain points of your industry colleagues, we have compiled the following suggestions for the problem of refrigerated vehicle insurance:

03

Suggestions for improvement

(1) Short-term recommendations:

1. Rely on insurance partners to find small insurance companies or agents

Relying on large insurance companies such as Ping An, PICC, and Tian'an, we will assist in finding small insurance institutions or agents that can help insure, but for small insurance institutions and agents, it is still necessary to strengthen the review of subjects and insurance terms to avoid insurance losses.

2. Purchase sufficient freight insurance and personnel insurance to alleviate accident risk losses

In view of the fact that most of the current logistics enterprises are hired drivers, it is recommended to purchase employer liability insurance to avoid the risk caused by insufficient insurance amount of personnel on the car; to insure the seat insurance of the personnel on the car with a higher amount to supplement the shortage of compulsory traffic insurance; and for different business types, purchase the corresponding cargo insurance or logistics liability insurance.

3. Strengthen the management of daily vehicles and drivers to reduce the risk of accidents

Traffic accidents must be caused by traffic violations, so reducing traffic violations is an important means to reduce traffic accidents. The first is to strengthen personnel management. Signing a letter of responsibility, the establishment and improvement of various rules and regulations by enterprises is the "talisman" for enterprise operations; the second is to strengthen vehicle management. Strengthen the "three inspections in one day" to ensure the necessary conditions for the safe operation of vehicles. The professionalism of business personnel is one of the important factors in the safe operation of enterprises.

Strengthen the management of vehicle inspection and driver behavior norms on a daily basis to ensure that the vehicle is in good condition, while standardizing the operation of the driver, improving the level of safe driving, and reducing the risk of accidents. It is understood that at present, some professional cold chain transport enterprises and insurance companies maintain a good state of cooperation, such enterprises in cooperation with insurance companies, due to the good level of enterprise operation and management, insurance companies will be based on the actual operation of the enterprise, separately establish an insurance database, and design exclusive products for them to meet the needs of vehicle insurance.

(ii) Long-term recommendations:

1. Strengthen the management of relevant state departments, and give priority to solving the pain points of industry peers

At this stage, we should also strengthen the supervision and control of relevant state departments, solve the problem of insurance difficulties from the top level, ensure that the industry can develop benignly, solve fundamental problems, and create a better business environment for enterprises.

2. Reorganize the relevant insurance regulations and terms of refrigerated trucks

The refrigerated truck insurance terms and related regulations are reorganized and refined, and on the basis of protecting the interests of multiple parties, an insurance plan that conforms to the development of the industry and does not harm the interests of all parties is established.

3. Establish refrigerated truck inspection and underwriting standards

For the refrigerated truck insurance inspection and underwriting standards, we should further improve, clarify the verification requirements, and strengthen the management of non-compliance phenomena such as insurance fraud to avoid the occurrence of insurance fraud. Here, it is suggested that insurance companies can strengthen the linkage with industry organizations, have a deeper understanding of the cold chain logistics industry, and participate in the formulation of relevant standards, so as to design insurance products and underwriting processes that are more in line with market demand.

4. The insurance company cooperates with the automobile main engine factory to design customized products

Insurance companies can link up with auto OEMs to design special refrigerated truck insurance products for OEMs vehicles. Auto OEMs provide standard and judgment services for insurance companies, insurance companies provide protection for customers, and auto OEMs can also use their insurance products as aftermarket products to enhance their market competitiveness, and ultimately achieve a win-win situation for all parties.

Near-term highlights

Editor of this issue: Jubert