Say goodbye to the era of one-price compulsory traffic insurance. Starting from June 1, premiums for compliant drivers may be reduced by half, and those with many accidents will be doubled

According to reports, the fixed premium model that has been used for compulsory traffic insurance for 20 years is about to become history. The State Administration of Financial Supervision, the Ministry of Public Security, and the Ministry of Transport jointly issued a notice that starting from June 1, 2026, the floating rate mechanism for New Traffic Compulsory Insurance will be implemented nationwide, and premiums will no longer be "one size fits all." Driving habits and illegal records will directly affect the payment amount. Safe driving can enjoy substantial discounts, while high-risk driving will face an increase in premiums.

Under the new regulations, the basic premium for family cars with less than 6 seats is still 950 yuan, and the final premium will fluctuate based on the no-compensation preferential treatment coefficient and the regional difference coefficient.

For car owners who have no attributable accidents or serious violations for three consecutive years or more, the premium can be reduced to as low as 475 yuan, which is equivalent to a half-price discount; for car owners who frequently have accidents, the premium can be up to 1,900 yuan, achieving precise adjustment of "rewarding the good and punishing the bad".

Premium fluctuations are closely linked to the number of accidents and traffic violations. If there are 2 or more responsible accidents in the previous year, the premium will increase by 10%; if there are 3 accidents, the premium will increase by 50%; if there are 5 or more accidents, the premium will be hit the upper limit.

Serious violations such as drunk driving, drunk driving, hit-and-run, etc. will also be superimposed by 5% to 30%, resulting in financial penalties and forcing drivers to abide by the law.

This reform is not to reduce the guarantee, but to comprehensively improve the quality.

The liability limit of compulsory traffic insurance has been raised simultaneously. The death and disability compensation limit has been raised from 180,000 yuan to 200,000 yuan. The medical expense compensation limit has been raised from 18,000 yuan to 20,000 yuan. The total liability limit has been raised from 200,000 yuan to 222,000 yuan. The ability to avoid accidents is stronger, benefiting all traffic participants.