Court Awards CNY 87,755 in Car Accident Insurance Dispute
A local court in Eastern China City ruled in favor of an injured motorcyclist in a traffic accident case, ordering an insurance company to pay compensation totaling approximately CNY 87,755. The plaintiff, Mr. Zhang, sought damages for medical expenses, nursing care, and other losses after a collision with a vehicle owned by Mr. Wang and driven by his employee. The court allocated primary liability to the driver and determined the insurance coverage obligations under both compulsory and commercial policies.
The accident occurred on September 7, 2011, when Mr. Wang’s employee, Mr. Zhao, drove a car that collided with Mr. Zhang’s unlicensed motorcycle. The traffic police found Mr. Zhao primarily at fault, assigning him 70 percent responsibility, with Mr. Zhang bearing 30 percent. Mr. Zhang sustained injuries and was hospitalized for 41 days, including 14 days in intensive care. His medical costs totaled over CNY 114,000. Mr. Wang had purchased compulsory traffic insurance and a commercial third-party policy with a limit of CNY 200,000, including no-deductible coverage. He also advanced CNY 10,000 for Mr. Zhang’s treatment.
During the trial, the court reviewed documentary evidence including the accident report, medical bills, insurance policies, and witness statements. The hearing proceeded with both parties present. Mr. Zhang’s legal representative submitted itemized receipts for hospital fees, emergency transport, and a neck brace. The insurance company challenged the claimed nursing expenses, arguing that without employment contracts or tax records, the rate should follow standard local service industry wages. It also disputed the transportation costs as excessive and rejected the demand for nutritional support due to lack of medical instructions.
The court found that Mr. Zhao was acting within the scope of his employment, making Mr. Wang vicariously liable as the employer and vehicle owner. Applying the 70 percent liability split, the court ruled that the insurance company must first pay from the compulsory policy up to its limits. Any remaining damages would be covered under the commercial policy, also at 70 percent. The court accepted medical expenses of CNY 114,007.90, the neck brace cost of CNY 84, and a reasonable transportation fee of CNY 600. It calculated nursing care based on 41 days of partial care using the 2011 local average wage for service workers at CNY 69.03 per day.
Key legal reasoning centered on the interplay between compulsory and commercial insurance layers. The court noted that the compulsory policy covers up to CNY 10,000 for medical costs, after which the commercial policy applies proportionally. It also emphasized that the plaintiff bore the burden of proving special damages such as nutrition fees, which he failed to do. The court upheld the principle of vicarious liability for employers and confirmed that the insurance company must reimburse the advance payment made by Mr. Wang. The decision cited relevant provisions of tort law, traffic safety law, and insurance law.
The final judgment requires the insurance company to pay from the compulsory policy: CNY 10,000 for medical costs, CNY 2,830.23 for nursing, and CNY 600 for transportation. From the commercial policy: CNY 84 for the neck brace, CNY 62,805.53 for additional medical expenses, CNY 1,435 for hospitalization meals, and CNY 10,000 to reimburse Mr. Wang’s advance. The court rejected all other claims. This case illustrates how courts apportion damages in multi-vehicle accidents when the defendant has both compulsory and commercial insurance, and highlights the importance of documenting all losses to support compensation claims.
Disclaimer: This article is for informational purposes only and does not constitute legal advice.