/ Daily News/July 25, 2022 Guangzhou -- "Carbon peak by 2030 and carbon neutrality by 2060" has set a tone for the green development strategy. There is a huge range of green industries, including mature industrial chains as well as emerging and maturing industrial chains. But in the long run, all industries need to take their share of the burden.
Green development is not only the most concerned strategy in China, but also a key issue in the world. The country's relatively energy-intensive economic structure, its energy structure with a high proportion of coal, and its relatively short transition period from carbon peak to carbon neutral pose greater challenges, so the realization of the "two-carbon" goal also requires more efforts.
In this context, learning the advanced experience of carbon neutrality strategies in developed countries can avoid unnecessary trial and error costs, and is of great significance for China to safely achieve the goal of "dual carbon". However, China also leads the world in the exploration of green industries, and new-energy vehicles are one of them.
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< China leads the world in the development of new energy vehicles
Automobile manufacturing is a comprehensive embodiment of a country's industrial level, and new energy vehicles, as an important strategic emerging industry, play an important role in promoting green development and achieving carbon peak carbon neutrality. The development of new energy vehicles is the only way for China to move from an automobile power to an automobile power.
An official from the Ministry of Industry and Information Technology recently revealed at a press conference that the cumulative sales volume of new energy vehicles in China has climbed from 20,000 units at the end of 2012 to 11.08 million units at the end of May this year, successfully breaking the 10 million mark. In the first quarter of this year, China's cumulative production and sales of new energy vehicles increased more than the whole year of 2019; Since 2015, its production and sales have ranked first in the world for seven consecutive years.
In fact, Chinese brands are not only doing well in the domestic new-energy vehicle market, but also making great progress in overseas markets. Last year, the country exported 310,000 new energy vehicles, exceeding the historical total. Exports to Europe grew the fastest, by 204 percent. Among the world's top 10 best-selling new-energy vehicle models in 2021, six Chinese brands took up positions. More importantly, this achievement does not depend on low prices, but more on the improvement of quality and technological innovation.It can be seen that in the new energy vehicle market, made in China is rising rapidly and sweeping the world. This also gives Chinese car companies a chance to compete with established Western car companies and overtake them on corners.
Gao Wei, product director of Law Business Risk (Beijing) Information Technology Co., LTD., believes that the development of new energy vehicles in China is ahead of the international market. At present, the types of new energy vehicles in developed countries are not as rich as those in China. For example, the United States is still dominated by conventional gas-electric hybrid (non-plug-in hybrid) models. However, the types of new energy vehicles in China are divided into three types, with pure electricity accounting for about 80% and plug-in hybrid and extend-range hybrid accounting for the remaining 20%.
China not only leads the international market in the production of new energy vehicles, but also takes the lead in launching highly targeted exclusive insurance clauses for new energy vehicles in the world. Gao Wei introduced that there is no exclusive clause for new energy vehicles in the American market. Auto insurance companies use some differentiable information as pricing factors on the basis of existing fuel vehicle products, such as power type and model coefficient to quantify and distinguish the risk level between new energy vehicles and fuel vehicles and the risk level of new energy workshops. In the UK market, auto insurance companies have started to customize batteries, charging lines, charging piles and other new energy vehicles in the terms and rates of existing products. However, due to the limited number of new energy vehicles in the market and the high investment required for new product design, there is still no exclusive product for new energy vehicles. The Spanish market is the furthest in the field of new energy vehicle insurance outside China. For example, Mapfre covers not only batteries, private charging posts, and private charging lines, but also liability risks arising from the use of public charging posts. New energy power type as a discount factor to better encourage consumers to use green energy. In these markets and some other European markets, everyone regards new energy vehicles as a branch of intelligent connected vehicles, and applies to the Internet of vehicles insurance products developed based on intelligent connected vehicle data analysis.
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For the auto insurance market, which has experienced a continuous downturn in recent years, it also means that the outbreak of the new energy market will bring new growth momentum to the auto insurance premium income, and the auto enterprises also see new business opportunities.
After Tesla, Xiao Peng, BYD, Nextev, Ideal Auto also "curve" insurance broker license, intends to enter the auto insurance business. In the past two years, the new forces of new energy car manufacturing are breaking the circle step by step, emphasizing that they are not only car companies, but also to use their own data and black technology, mining the possibility of subverting the upstream and downstream ecology of automobiles.
Perhaps the most important role for new car makers to enter the local auto insurance is to directly connect customers. By directly configuring auto insurance for car owners, they can form a closed loop of car manufacturing, sales and after-sales service, so that their own cars can be more closely connected with customers, which can not only open up the whole life cycle of car owners, but also cultivate new business models and growth space.
Take Tesla as an example, the direct marketing mode enables it to directly contact the buyers of new energy vehicle insurance, so as to directly obtain the information of the owners who buy new energy vehicle insurance. Tesla disclosed in its 2021 earnings report that it now offers insurance in five U.S. states, and Value Penguin estimates that Tesla spends an average of $4,548 per vehicle per year on insurance. Tesla expects 80 percent of its U.S. customers to choose Tesla insurance by the end of 2022.
New energy vehicle enterprises to sell insurance really so easy? Mr Gao admits there are opportunities on the sales end. The overall physical form, body structure, power type and manufacturing concept of new energy vehicles are very different from that of fuel vehicles. This difference and particularity will inevitably bring some cognitive challenges to the insurance industry and consumers.
For car enterprises, their own understanding of new energy vehicles. Based on a comprehensive understanding of vehicle information, automobile enterprises can make better matching of insurance needs for end consumers when selling insurance or introducing insurance plans, which is also one of the advantages of new energy automobile enterprises in selling insurance.
Therefore, Gao Wei believes that new energy vehicle companies as insurance brokers to help insurance companies sell insurance, can provide insurance companies with more detailed vehicle information, such as motor type, battery capacity, motor power and torque, so that insurance companies can have a better understanding of risk exposure.
If some insurance companies are willing to launch corresponding underwriting policies for this part of risks, insurance brokerage companies established by automobile enterprises can provide exclusive customized insurance plans for car owners and provide intimate protection for consumers.
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Business challenges after getting the insurance ticket
Automobile enterprises want to really enter the auto insurance business, its challenges can not be ignored. When new energy vehicle enterprises are more and more deeply involved in the insurance industry, and even want to participate in the whole process from actuarial calculation, sales to insurance as an insurance company, it is inevitable to experience underwriting, investigation, claims and other very professional insurance business links, and this is a relatively high professional threshold for car enterprises.
iResearch pointed out in "White Paper on Ecological Construction of China's New Energy Vehicle Insurance" that the direct selling mode requires auto enterprises to have an online system with complete functions, which not only costs a lot and takes a long time, but also complicatesystem to connect with insurance companies. In addition, auto insurance has the characteristics of localization, and the nationwide offline service network is its tentacles to ensure customer service, which needs long-term accumulation.The maximization of social efficiency is "professionals do professional things". Gao Wei explained that the professional risk cognition, claim settlement, survey, loss determination and other steps in the insurance business, as well as the copy of village and county insurance companies out of the single point and claim network layout, are great challenges for new energy vehicle enterprises, after all, to let car experts become insurance experts, the cost of manpower, time, money are very huge and difficult to estimate.
A car owner once joked: "I thought it was wise to buy an electric car, but when it was time to pay insurance, I found that the money saved on gas went to the insurance company's pocket." There are also many people hope that the car enterprise into the bureau, can reduce the new energy vehicle insurance premium, but the idea is difficult to achieve in the short term. According to the data of Bank of China Insurance Information Technology Management Co., LTD., from 2016 to the first half of 2020, the overall risk frequency of new energy vehicles is 3.6% higher than that of non-new energy vehicles, and the risk rate of household new energy vehicles is 9.3% higher than that of non-new energy vehicles. The case compensation of household new energy models is 2.7% higher than that of non-new energy vehicles, and the core power damage rate of new energy vehicles is three times that of fuel vehicles.It is a market consensus that the risk rate of new energy vehicles is high and the maintenance cost is high. Therefore, the reasons for the premium increase are mainly related to the loss rate, maintenance cost, raw material price and the market size of the automobile enterprises. Even if the automobile enterprises participate in the sales link, there is not much room for the actual cost reduction.
However, the participation of auto companies can also guarantee the common interests of insurance companies and consumers to a certain extent. As vehicles become more intelligent and vehicle data collection continues to improve, automobile enterprises and insurance companies can improve the accuracy of overall risk identification through diversified data assistance, and design personalized insurance products suitable for different consumers, so as to balance costs and consumers' rights and interests.
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Law and business risk McLev enterprises, insurance enterprises to build a win-win ecology
For traditional insurance enterprises, under the condition of sufficient hardware and software facilities such as sales channels, operation experience, talent reserve, grasp the data and risk characteristics of new energy vehicles, to achieve accurate pricing, is an important part of both offense and defense; For the new car makers, if they want to get a share of the competitive auto insurance market, their outstanding capabilities in driving behavior data and digital car owner services are a solid foundation for establishing differentiation advantages.
Mining driving behavior data, precise segmentation of driving risks, with more reasonable auto insurance pricing to attract consumers is the key to establish differentiation advantage. For example, professional third-party service providers such as Law Business Risk can provide great help to automobile and insurance companies. Due to its access to multiple resources, Law & Business Risk not only has accumulated deep experience in processing and application of dynamic driving behavior data collected by auto companies in overseas markets, but also is familiar with various business processes such as actuarial pricing and product design of Chinese insurance companies, which can build a bridge for cooperation between auto and insurance companies and help build a win-win ecology of new energy insurance.
Law quotient risk can help insurance companies extract static and dynamic risk characteristics of people or people, accurately recognize and quantify risks through correlation analysis of a large amount of data from cars and people, especially the analysis of dynamic driving behavior data. Gao Wei introduced that the related risks of new energy vehicles are unique. Since there is no rich experience and judgment of underwriting claims for this kind of risk, more static and dynamic risk characteristics are needed to accurately describe the risk to assist the decision-making of this kind of risk. Through extensive collection of data such as body materials, three electric physical parts, relevant prices and dynamic driving behavior, the law and business risk analysis team conducts multi-angle data analysis and extracts insights, which are then combined with subjective cognitive collision to finally form an overall solution of new energy vehicle insurance.Yu Zeming, director of data science of Law Business Risk, introduced the key elements of the company in building various auto insurance solutions from three aspects more specifically: the first is the wide range of data dimensions. Insurance companies pay more attention to their own underwriting and claim data. Although they have accumulated some static data attributes of subordinate vehicles, they have not accumulated too much other data, such as dynamic driving behavior data of subordinate vehicles, consumption behavior data of human beings, new fields such as new energy and ADAS attributes. In fact, the industry-wide collection of such data is still in its infancy, but it is in great demand. Thus, when law firm risk compliance legally gathers a wide range of data, it can more accurately determine the risks associated with an individual and his policy.
The second is the algorithm innovation. Based on extensive data, Law & Business Risk has made a lot of algorithm innovations. Whether it is the traditional actuarial algorithm that has been widely used at home and abroad, such as the Generalized Linear Model, or the newly introduced advanced machine learning algorithm, the purpose is to mine out more accurate information in the existing data as far as possible, so as to realize modeling.
Finally, the interpretability of the model. Only the model is not enough, it is more important to let the insurance company salesmen and consumers understand the model. Law and business risk especially emphasizes the interpretability of the model, so it will extract the information in the model and share it with customers, which also makes its score result more acceptable to insurance companies and consumers when it is implemented.
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Conclusion < P >< P >< P > In fact, new energy vehicle enterprises and insurance companies both have mutual benefit and win-win points, but also can solve the pricing and claims problems of new energy vehicles together. They should actively embrace each other and explore ways of cooperation that complement each other's advantages. In the process of integration, both parties can also make use of the leading exploration of law business risk, a professional auto insurance service provider, in data solutions to further promote the ecological construction of new energy vehicles.
< /p>No matter how the new energy automobile industry develops in the future, automobile enterprises, insurance enterprises and all kinds of service providers in the industrial chain need to combine the market demand and constantly innovate, launch services that can better meet the needs of consumers, so that they can truly experience more convenient, more assured and more affordable products.
