CHINA ENACTS MANDATORY AUTO-INSURANCE PLAN

As of July 1st China began its new regime of nationwide, mandatory auto-insurance for the 130 million owners of vehicles. Regional policies of mandatory insurance have been in place previously and will remain in place until their expiry when drivers will then convert to the national insurance program. Rates for commercial motor insurance in China may fall in the near future as a result of the new legislation, according to Jia Haimao, vice-executive officer of locally based insurer PICC P/C.