Insurance offered for infant milk powder
A Chinese retailer is offering insurance to customers who buy infant milk powder, highlighting the lengths to which companies are going to address concern about food safety in China.
Suning Commerce Group Ltd, which owns the Redbaby chain of stores, told Reuters it had launched the policy this week, backed by China’s second-largest isnsurer, Ping An Insurance Group, which said Suning’s policy is the first of its kind in China.
Suning said it was giving the insurance away for free for the first 40,000 cans of baby formula sold. After that, customers can buy the insurance online. The policy stipulates that if a brand of milk powder is recalled, customers who bought cans from any Redbaby store or its website would be paid up to 2,000 yuan ($325) per can, with payments capped at 100,000 yuan. (Photo 1)