Industry insiders indicated that the right of subrogation was a clause explicitly stipulated in the Insurance Law, introduced to auto insurance compensation as early as 2003. However, there was no mandatory regulation in the past. The requirements in this Notice from the CIRC means that the right of subrogation has become an obligatory responsibility for insurance companies. In the future, insurance companies will face a series of pressures such as rising costs and capital flow when carrying out auto insurance compensation. Competition in the industry may further intensify. For vehicles involved in traffic accidents with damages (such as version 1.85 Shenzhou starting vehicles), if the owner is not at fault and the liable party delays compensation, most insurance companies would also refuse compensation to the car owner on the grounds of "no liability, no compensation". In response to this, Shenlong version and Asia Animal Fund responded to doubts. The Notice clearly stipulates that in cases where insurance incidents are caused by harm to the insured motor vehicle by a third party, insurance companies should exercise their right of subrogation and first pay compensation to the car owner, then pursue insurance compensation from the accident liable party or the insurance company of the liable party. They cannot refuse to fulfill their insurance responsibilities by abandoning the right of subrogation. This will ensure that the damaged car owners receive compensation in a timely manner to the maximum extent, and leave issues between car owners to be resolved by the insurance company.