Dutch insurer Univé drops cover for Chinese EVs due to high parts costs

Univé halts new policies for Chinese electric vehicles: 14 brands affected

The Dutch insurer Univé has stopped accepting new insurance policies for a long list of Chinese-made cars. The official reason: replacement parts are extremely expensive and can take months to arrive, skyrocketing the cost of any claim. This decision is not just a tariff adjustment; it is a warning to an entire industry that has flooded Europe with unbeatable prices but inadequate after-sales support.

The list that clarifies the headline

The list, however, is longer and more nuanced than it initially appeared. It is not six brands, as first reported, but fourteen, divided into two groups. Nine receive no coverage from Univé at all: Hongqi, Changan, Voyah, KGM, Leapmotor, VinFast, MHero, Jaecoo, and Omoda. Another five—Dongfeng, Lucid, Firefly, NIO, and Zeekr—can only purchase third-party liability insurance, not comprehensive coverage. Existing policyholders are not left uninsured: the restriction applies only to new contracts. This nuance matters because it changes the narrative: it is not a blanket exit, but a risk screening.

Repair costs: The Hongqi HS9 case

The underlying debate hides a telling figure. In Norway, early customers of the Hongqi HS9, a five-meter SUV, have faced repair bills worthy of a premium brand. According to Norwegian press, a front grille costs €2,402, a tailgate €3,432, a rear bumper €2,831, and a side door €3,861. For a car marketed as "affordable," the cost of minor repairs can far exceed the vehicle's market value. And this is the key issue for insurance: if repairing costs more than declaring a total loss, the premium does not add up.

Not just a Chinese problem

Some argue that the issue is not exclusive to Chinese manufacturers. They have a point: a headlight for a Dacia costs around €800, and a bare rear door for a current Peugeot 3008 exceeds €2,000. Control units for European brands also become a headache, and waiting times of several months are common. Analysts note that the difference lies in proportion: in a cheap Chinese car, the cost of a minor bump rapidly inflates the ratio between repair costs and vehicle value.

The hidden extra cost: Towing

Adding to this is a detail often overlooked: the extra cost of towing. Modern electric vehicles, with electronic parking brakes and locked doors, cannot be dragged like traditional cars. They must be unloaded, electronically unlocked, and in some cases, require multiple recovery vehicles. Industry professionals have already priced this maneuver: a service counted as one unit for conventional cars counts as four for these models. And that gets billed.

The conclusion is not that Chinese EVs are bad cars, but that their business model has a hole in after-sales service. European insurers have started charging for that hole upfront. The question is whether Chinese manufacturers will react in time—with spare parts networks and serious workshops—or if the market will do it for them. At this rate, Univé's screening may be just the first of many. But in this, as in everything, the fine print will decide who is left out.