This paper proposes a novel auto loss compensation (ALC) system to enable non-contact operations for capacitive coupled body channel communication (CC-BCC). The system employs a time-division compensation mismatch indicator (CMI) to continuously monitor the compensation error, and dynamically adjust the compensation inductor through a PI controller. With the close-loop topology, the proposed ALC system has three advantages: First, the path loss induced by non-contact status and backward coupling effect can be compensated simultaneously; Second, this system can dynamically attenuate the path losses, even when the channel characteristics vary with time; Third, this system has high robustness, which is insusceptible to channel variations; The simulation results show that the loss reduction of the proposed ALC system is 18 dB higher than the conventional compensation technique in the worst case.