A motor-assist system has been developed and employed for the "Insight' hybrid car. The system consists of an internal combustion engine as the primary power source, with an electric motor placed around the engine's crankshaft. Such construction reduces the system's volume significantly and offers more flexibility for the power plant layout. The system's functions include regeneration during braking, an idle stop mechanism, driving power assistance, and power supply for the 12V electrical system. A proper energy management method for various driving modes has been established by combining these functions, and fuel economy is significantly improved as a result. As another control feature, an active motor vibration control system compensates the idling vibration that is unique to three-cylinder engines.