Tesla Insurance Brokerage Company is back!
According to the Tianyancha APP, Tesla Insurance Broker (China) Co., Ltd. was recently established, with Zhu Xiaotong as the legal representative and chairman, a registered capital of 50 million RMB, and a business scope of insurance brokerage services. It is wholly owned by Tesla Insurance Services Co., Ltd.
Previously, the official website of the State Administration for Market Regulation also included the words "Tesla Insurance Broker (China) Co., Ltd." in the announcement of enterprise name application and registration.
In August 2020, Tesla registered and established a Tesla Insurance Broker Limited in China with a registered capital of 50 million yuan. Tesla Motors Hong Kong Limited holds 100% of the shares, and the legal representative, chairman, and general manager are all Zhu Xiaotong (changed to Wang Hao on September 8, 2023), Tesla's global vice president and head of Greater China. The company's business scope is insurance brokerage. The registered address of the company is the second floor of No. 5000 Jiangshan Road, Lingang New Area, China (Shanghai) Pilot Free Trade Zone, which is also the location of Tesla's Shanghai Gigafactory.
In March of this year, Tesla Insurance Brokers Limited issued a simplified cancellation notice. In April, the company's corporate status changed from existing to deregistered. According to a previous report by 21st Century Business Herald, Tesla officials responded that there is currently no company level explanation regarding the reason for the cancellation of Tesla Insurance Brokers Limited. However, the reporter found through public information analysis that Tesla Insurance Broker has been established for more than three years and has not obtained an insurance broker license.
In addition to Tesla, several new energy vehicle manufacturers have entered the insurance industry in recent years. In July 2018, Xiaopeng Motors registered and established Guangzhou Xiaopeng Automobile Insurance Agency Co., Ltd. In January 2022, NIO Insurance Brokerage Co., Ltd. was established. In March 2022, BYD Insurance Brokerage Co., Ltd. was established. In June 2022, Chehejia Financial Technology (Jiangsu) Co., Ltd., a wholly-owned subsidiary of Ideal Automobile, acquired 100% equity of the national insurance intermediary Yinjian Insurance Broker and renamed it as Beijing Ideal Insurance Broker Co., Ltd. In May 2023, BYD's holding subsidiary fully acquired Yian Property&Casualty Insurance and renamed it BYD Property&Casualty Insurance.
Are car companies targeting 'selling insurance'?
Industry insiders believe that car companies are frequently involved in risks, or they are optimistic about the vast market for new energy vehicles and new energy vehicle insurance. According to data from the Ministry of Public Security, as of the end of 2023, the total number of motor vehicles in China will reach 435 million, with 20.41 million new energy vehicles, including 15.52 million pure electric vehicles, accounting for 76.04%. The rapid growth of production and sales of new energy vehicles has given rise to enormous market potential for new energy vehicle insurance.
According to a research report by Dongwu Securities, it is estimated that by 2025, the sales of new energy vehicles will reach 11.67 million units, with a total of 36.93 million units and a premium scale of 186.5 billion yuan, accounting for about 18.7% of the total premium of car insurance; It is expected that the premium scale will reach 530.9 billion yuan by 2030, accounting for about 34.9% of the total premium of car insurance.
Excluding factors related to market growth, the insurance premiums for new energy vehicles are significantly higher than those for gasoline vehicles. Analysts believe that compared to traditional fuel vehicles, new energy vehicles have higher accident and loss rates, as well as faster updates, higher maintenance costs, and fewer professional maintenance personnel, which have led some insurance companies to increase the premium prices of new energy vehicles in recent years.
The growth in market size and premium unit price has provided car companies with revenue growth points. The "strong alliance" between car companies and the insurance industry also has considerations for seeking transformation. In a previous report released by Ernst&Young, it was pointed out that under the influence of the continuously growing new energy vehicle market, new energy vehicle insurance brokers will be a breakthrough for the strong alliance and transformation of the automotive and insurance industries, as well as a new profit and incremental model for new energy vehicles in the future.