Chinese conglomerate BYD to challenge Tesla in Chinese EV insurance market

The group is in talks to acquire internet insurance company Yi'an P&C Insurance Co.

Major electric vehicle manufacturer BYD Co Ltd is in talks to acquire insurance company Yi'an P&C Insurance Co.

The move marks BYD’s entry into the EV insurance market, potentially challenging players like Tesla and Nio, GlobalData analyst, Murthy Grandhi said.

BYD has also begun hiring, releasing a staffing notification to hire for several insurance positions including operations director, claims specialists, treasurer, product manager, and compliance manager, amongst others.

“BYD plans to create a complete closed loop system by leveraging telematics-based car data from BYD vehicles on-road, which can be leveraged to create insurance packages more affordable than the traditional insurers. Traditional insurers often face challenges in assessing the after-sale maintenance of EVs because of the technology, involvement of many electrical components, and expensive to repair. This will also provide a better level-playing field for BYD to compete with Tesla in China,” Grandhi said.