Retailer offers milk powder insurance

Suning Commerce Group (002024.SHE) has begun offering insurance to customers who buy infant milk powder at its Redbaby chain of stores, a measure intended to address widespread concerns about such products’ safety, Reuters reports. The policy, backed by domestic insurance giant Ping An (2318.HKG), states that if a brand of milk powder is recalled, customers who bought cans from any Redbaby store or its e-commerce website would be paid up to RMB2,000 (US$325) per can, with payments capped at RMB100,000. The dairy industry in China has been dogged by concerns since 2008, when thousands of infants fell ill and six died because milk suppliers were adding the poisonous industrial chemical melamine to their products.