Too many accidents to tarnish credit ratings

Posted by freemexy on April 15th, 2019

 Too many accidents to tarnish credit ratings Managers of transport companies whose vehicles cause accidents could end up with poor personal credit records, according to a measure introduced by Shanghai traffic police on Thursday.To get more Minhang news, you can visit shine news official website. If a company has 30 or more accidents per 100 vehicles within a year, the credit rating of the officials responsible for safety on the roads could be downgraded for five years.

That could affect their ability to get business permits, police said. Last year, there was an average of 48.4 accidents caused by every 100 trucks transporting construction debris. The numbers for taxis and bus companies were 41.9 and 36.6, respectively. In the first three months this year, trucks owned by the Minqing construction company based in Minhang District caused 36 accidents, traffic police said.

A manager from the taxi company Haibo, who didn't want to be named, told Shanghai Daily that the new measure would put great pressure on taxi companies in terms of safety management. “Insurance companies are reluctant to cooperate with local taxi companies because they can hardly make money from us when we have fewer and fewer drivers,” the person said. “Only by enhancing safety education and management can we drive down the number of accidents.” The new move is one of 25 traffic offenses that have been added this year to the list of traffic violations that can affect residents' personal credit. Shanghai residents can now have their personal credit affected by any one of 126 offenses identified by the traffic police, and the black mark on their credit can last from one to five years. The credit system covers only residents with Chinese mainland hukou (permanent residence permit).