There are actually two concepts in it, one is car loan insurance and the other is auto insurance. \ xd \ xd \ The definition of car loan insurance is clearly written by Baidu Encyclopedia: car loan insurance means that when a car buyer applies for a car loan from a bank, he applies to an insurance company for car loan guarantee insurance in addition to the car he has purchased as collateral. The popular explanation is: after buying a car and applying for a car loan, the financial company or bank that lends money is afraid that the lender will not be able to pay back the loan in case of an accident, and after the accident, the insurance company will repay the remaining loan with compensation. Generally, after applying for a loan for several years, you will have to buy insurance for the same number of years at one time. So if you apply for a car loan for three years, you have to pay car loan insurance for three years. \ xd \ xd \ Auto insurance covers cars, which is a means of transport insurance with the motor vehicle itself and its third party liability as the insurance subject matter. I usually buy it once a year.