After Claiming "Free Insurance," Consumers Face Unexpected Charges — These Policies Become Major Complaint Hot Spot

GateUser-bd883c58 · 2026-03-16T11:43:25+00:00

"0 yuan insurance" as an internet marketing tactic attracts consumers with low first-month premiums but conceals automatic renewal traps that may infringe on consumer rights. Lawyers point out that this deduction practice lacks contractual basis and violates consumers' right to know and right to choose.

GateUser-bd883c58

2026-03-16 11:43:25

Abstract generation in progress

The “Zero Yuan Insurance,” also known as “Magic Cube Insurance,” is a common marketing tactic in the online insurance industry, often using free coverage or ultra-low first-month premiums as a lure to attract consumers. What appears to be a cost-free benefit actually hides an automatic renewal trap. After the free or low-cost trial period ends, the platform will automatically deduct monthly fees, often without any billing notices or reminders beforehand, leading consumers to be unaware of ongoing charges.

In response, Jin Zhenzhao, senior partner at Guangdong Zhuojian Law Firm, told the Daily Economic News that such behavior directly infringes on consumers’ right to information and right to autonomous choice. The platform enters into insurance contracts and makes deductions without obtaining the genuine consent of consumers, and these deduction actions lack valid contractual basis.

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.