Company: SDAWW
Filing Date: 2025-04-28
Form Type: 20-F
Source: 0001213900-25-036086
Chunk: 12

Company: SunCar Technology Group Inc.
Filing Date: 2025-04-28
Form: 20-F
Item: Item 3
Chunk 12
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 the growth of our auto services business.

For our auto eInsurance business,
we provide agency services for major insurance companies in China by distributing primarily auto eInsurance products underwritten by them,
and receive commissions from these insurance companies. Our relationships with these insurance companies are governed by agreements between
the insurance companies and us. These contracts generally provide, among other things, the scope of our authority and our commission rates,
and typically have a term of one or three years. Certain of these contracts can also be terminated by the insurance companies with a relatively
short notice under certain circumstances. There is no assurance that we would be able to renew any such contracts upon their expiry with
terms that are comparable to or better than the existing ones, if at all. Any interruption to or discontinuation of our relationships
with these insurance companies may severely and negatively impact our results of operations.

In addition, client and end-consumer
recognition is critical for us to remain competitive. Our ability to maintain and enhance client and end-consumer recognition and reputation
depends primarily on the quality of the products and services they receive. If we are unable to maintain and further enhance our enterprise
customer and end consumer recognition and reputation and promote awareness of our product offerings and services, we may not be able to
maintain or continue to expand our customer base, and our results of operations may be materially and adversely affected. Furthermore,
any negative or malicious publicity relating to our Group, products and services could harm our brand image and in turn materially and
adversely affect our business and results of operations.

We rely on our auto service providers and
external referral sources to operate our business, therefore our relationships with our service providers are crucial to our business.
Failure to establish and maintain cordial relationships with them and other supply chain disruptions may adversely affect our results
of operations and business prospects.

For our auto services business,
we rely on our auto service providers to deliver a variety of automobile-related services to end customers of our enterprise customers.
Accordingly, our relationships with the auto service providers and their quality of service are crucial for us to continue our business
growth and promote our brand and reputation among our customers. If our relationships with them deteriorate, our business, financial condition
and results of operations may be materially and adversely affected. Similarly, failure of our auto service providers to deliver services
of satisfactory quality may cause our customers to stop using our services, which could adversely affect our revenue or even jeopardize
the business relationship with our customers.

For our auto eInsurance business,