People's Insurance Company of China (PICC) Zhang Daoming interprets new energy vehicle insurance claim ratio: claim frequency continues to decline, multiple measures promote improvement in claims costs

On March 27, financial frontline news reported that China Reinsurance held its 2025 annual performance briefing today. Zhang Daoming, a member of the board of directors and party secretary of China Reinsurance Property & Casualty, stated that the relationship between the claim rate and average claim amount for new energy vehicle insurance is comprehensively reflected in the reported payout rate for new energy vehicle insurance. The reported payout rate for the company’s new energy vehicle insurance has decreased in 2024 and is expected to continue to decline in 2025, resulting in a certain degree of improvement in the overall reported payout rate. Among these, the claim rate for new energy vehicle insurance continues to decline, while the average claim amount has risen. The main reason for this is the increased proportion of high-amount personal injury cases, which is a structural factor.

Zhang Daoming introduced that the claim rate is expected to continue to decline in 2026, and the company will take multiple measures to fully improve the payout rate for new energy vehicle insurance: first, continuously strengthen the team building of actuarial pricing talent, innovate pricing factors, optimize the risk pricing model, enhance the risk identification and differentiated pricing capabilities of new energy vehicle insurance, and leverage the company’s rich data advantages to explore multidimensional data on new energy vehicles for risk identification; second, focus on promoting cross-industry cooperation to steadily reduce the payout costs for new energy vehicles; third, improve measures for personal injury claims.

Zhang Daoming pointed out that the current proportion of personal injury cases is in a slow rising stage, mainly related to new car driving habits. According to past experience, the claim rate for personal injury cases will stabilize in the future. The company will launch eight types of intelligent tools, including an intelligent review model for disabilities, to assist in special claims reviews, strengthen the capacity for detecting leakage and fraud in personal injury cases, focus on areas such as disability, litigation, and medical reviews, continuously optimize risk warning rules, and enhance the effectiveness of personal injury loss reduction; conduct centralized risk management for personal injuries, perform nationwide centralized reviews on high-risk disability cases, enhance cost control capabilities, and further promote the reduction of personal injury payout costs.

Zhang Daoming stated that the company maintains an overall positive and optimistic attitude toward the future profitability of new energy vehicle insurance.