Court Awards CNY 39,050 in Traffic Accident Dispute
A court in Eastern China City ruled in favor of a woman injured when a bus passenger fell onto her moving bicycle, ordering combined compensation from an insurer and the bus company. The plaintiff sought CNY 54,546.67 for medical costs and lost income after the April 2011 crash. After trial, the court calculated her actual losses at CNY 39,050, with the insurer paying CNY 18,050 under the compulsory insurance policy and the employer bearing the remainder.
The accident occurred on April 29, 2011, around 6 pm. The defendant driver, Mr. Chen, was operating a large passenger bus on a public road in Eastern China City. As the bus stopped to let passengers off near a railway station bus stop, a passenger inside the bus collided with the plaintiff, Ms. Wang, who was riding an electric bicycle alongside the bus. The impact caused the bicycle to tip over, throwing Ms. Wang to the ground and damaging the bicycle. Police determined that Mr. Chen was fully responsible for the accident. The bus was owned by Eastern Passenger Transport Company, which employed Mr. Chen at the time. The vehicle was insured under a compulsory traffic accident liability policy with People’s Insurance Company of China, Eastern China City Branch.
In court, the plaintiff presented extensive evidence. This included a police accident report, medical records from two hospitals, a forensic assessment from a local testing institute, and receipts for bicycle repair and transportation costs. The forensic report stated that Ms. Wang needed three months of rest, one month of nursing care, and one month of nutritional support due to a skin abrasion and bruising on her right lower leg. It also estimated future medical treatment for scar removal at CNY 30,000 to CNY 40,000. The defendant driver did not appear at trial. The bus company admitted liability but argued that the claimed amounts were excessive. The insurer agreed to pay only up to its policy limits and refused to cover court costs.
The court determined the plaintiff’s total compensable losses at CNY 39,050. This included CNY 5,400 for lost income, based on her actual monthly salary of CNY 1,800 as a clothing store clerk. The court allowed CNY 2,250 for nursing care, calculated at CNY 75 per day for 30 days, and CNY 1,000 for nutritional support. Transportation expenses were set at CNY 200, bicycle repair at CNY 200, and future medical expenses at CNY 30,000, which the court decided to include in the current award to avoid a second lawsuit. The court rejected the plaintiff’s claim for CNY 2,000 in emotional distress damages because her injuries did not result in permanent disability or severe consequences.
On legal grounds, the court explained that because the bus was insured under a compulsory policy, the insurer had to pay first within the policy limits. The compulsory policy covers up to CNY 10,000 for medical expenses, CNY 110,000 for disability and income loss, and CNY 2,000 for property damage. The court allocated CNY 10,000 for medical costs (nutrition and future treatment), CNY 7,850 for lost income, nursing, and transportation, and CNY 200 for property damage, totaling CNY 18,050 from the insurer. Since Mr. Chen was the bus company’s employee and was acting within his job duties at the time, the company—Eastern Passenger Transport Company—was held fully liable for the remaining CNY 21,000. The court ordered the employer to pay that amount.
This case illustrates how Chinese courts handle traffic accidents involving employer-owned vehicles and compulsory insurance. The ruling confirms that an insurer must pay up to policy limits before the employer’s liability arises, and that non-surgical future medical costs supported by expert estimates can be included in the same judgment to streamline litigation. Parties in similar disputes should note that courts will calculate lost income based on actual earnings rather than regional averages when the plaintiff provides credible testimony, and that emotional distress awards generally require serious physical harm.
Disclaimer: This article is for informational purposes only and does not constitute legal advice.