Beijing is planning to provide weather insurance coverage to help rural residents cope with natural disasters, state media reported, citing a source from a major Chinese insurer. The weather index insurance product will pay out a predetermined fixed amount to beneficiaries if certain conditions are met. The program began last September as part of a deal between China and Germany, and has been promoted by China Life Property & Casualty Insurance and the China Insurance Regulatory Commission (CIRC). CIRC statistics show that less that 5% of the costs stemming from losses incurred from national disasters are covered by insurance in China, compared to 30% in developed nations.
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