People's Insurance Co of China (PICC) and Ping An Insurance - the mainland's two leading industry players - have been publicly censured by regulators for irregular car-related insurance practices.
The ruling, issued by the China Insurance Regulatory Commission (CIRC), formed part of the commission's ongoing drive to clean up the sector, Xinhua news agency said yesterday.
'Car-related insurance has always been a problematic issue of the sector,' Xinhua said.
Four outlets face disciplinary action. Two are PICC sub-branches: in Guizhou's Zunyi economic and technological development zone; and Shandong's Zichun district in Zibo city.
The other two are Ping An sub-branches: Hunan's Xiangtan in Changsha city; and Beijing's Chaoyang district.
Zunyi, Zibo and Xiangtan sub-branches have been ordered to suspend car-insurance operations for three months due to chaotic and reckless management, and failure to comply with regulations.