Widespread advertising of "deep discounts" online
Just type the phrase "compulsory low-cost civil liability insurance" on Facebook, a series of personal accounts and fanpages immediately appear with attractive invitations.
Contacting through public phone numbers, reporters were informed that the price of civil liability insurance for cars under 6 seats not engaged in transportation business is only 330,000 VND/year (while the regulated fee is 480,700 VND, including VAT).
For motorbikes, the compulsory insurance premium of 66,000 VND/year was reduced to only 40,000 VND/year. When reporters expressed concern about the legality of online purchases, sellers immediately reassured and arranged to transact directly on the 14th floor, No. 115 Tran Duy Hung (Yen Hoa ward, Hanoi).
Surveying on the official website system of large insurance companies, compulsory insurance premiums are always listed according to Decree 67/2023/ND-CP. However, just contacting privately, consultants immediately "give the green light" to reduce prices for customers.
When contacting the switchboard of Petrolimex Insurance Corporation (PJICO), the switchboard operator affirmed that the company did not reduce prices according to regulations. However, when hearing reporters reflect that many other places were decreasing deeply, the staff immediately proactively switched directions to exchange via personal Zalo.
This account admitted that the Ministry of Finance prohibits discounts, but still proactively reduces prices if customers buy in large quantities. With a package including 3 motorbikes and 1 car, the total amount reporters have to pay is only 600,000 VND, nearly 80,000 VND lower than regulations.
Finding the headquarters of PVI Hanoi Insurance Company at address 115 Tran Duy Hung, the staff directly completed the procedures for issuing car insurance applications for reporters with the actual collected price of 330,000 VND.
Questioning about the fact that the financial invoice still fully states 480,700 VND, the staff frankly shared: "According to regulations, the State is not allowed to reduce prices, so paperwork must be legalized. We work directly here, so we cut off the off-discount fee for customers a little to compete.
A similar situation was also recorded at Bao Long Insurance Corporation (No. 49 Ngo Quyen, Hoan Kiem, Hanoi). Employees agreed to immediately discount 30% of car insurance premiums (actual revenue of nearly 350,000 VND/year), while the issued invoice still fully stated the premium level according to regulations.
Erasing social security values
The underground price reduction battle of civil liability insurance for motor vehicles leaves many consequences for the rights of participants and the health of the market. Mr. Nguyen Khac Xuan - Director of Infair Insurance Support Service Co., Ltd. - analyzed: "The law prohibits civil liability insurance discounts because this is a non-profit social security policy, operating according to the principle of risk sharing "taking the majority to compensate the few". The fact that units compete to discount 30-50% causes market competition to be distorted. When businesses are willing to cut very high commissions but the compensation payment rate is too low, the real value of this social security policy will be questioned by the people.
In fact, the compensation rate of this type of insurance is quite modest. According to data from the Vietnam Insurance Association, in the first 6 months of 2026, CI revenue reached VND 2,999 billion, compensation VND 521 billion (reaching 17.4%). In 2025, CI revenue reached VND 5,585 billion, compensation VND 954 billion (reaching 17%). Of which, motorbike insurance revenue alone reached VND 1,124 billion, but compensation costs are estimated at just over VND 20.6 billion (accounting for only about 1.8%).
Mr. Nguyen Khac Xuan said that the psychology of buying insurance is only for "dealing", making people afraid to do complicated procedures when incidents occur.
In addition, the current asset compensation limit (maximum 50 million VND/case) is no longer suitable for reality. Just a small collision that breaks a modern car headlight can cost from 50-60 million VND for repair.
Mr. Phan Van Duc - Deputy Director of the Insurance Management and Supervision Department (Ministry of Finance) - said: "Management agencies do not encourage price reductions for competition. Businesses need to focus on improving service quality and compensation capacity. The phenomenon of difference between actual revenue and financial invoices may be due to employees using all commissions to retain customers, functional agencies will verify and clarify".
Representatives of the Vietnam Insurance Association also emphasized that businesses need to strictly comply with the law and simplify the compensation process to the maximum. At the same time, people need to proactively coordinate with insurance units when incidents occur to ensure their legitimate rights.
