China gets first online insurance firm

China's first online insurance firm has been jointly launched by e-commerce, Internet and insurance moguls to target e-commerce shoppers.

The products designed by Zhong'an Online Property Insurance will address issues concerning e-commerce, mobile payment and Internet finance for companies as well as private customers, the firm's CEO Yin Hai said at the launch ceremony in Shanghai on Wednesday.

With a registered capital of 1 billion yuan (164 million U.S. dollars) and headquartered in Huangpu District of Shanghai, Zhong'an's shareholders include top e-commerce company Alibaba Group Holding Ltd., the world's second-largest insurer Ping An Insurance (Group) Co., and the country's largest Internet firm Tencent Holdings Ltd.

Zhong'an's portfolio ranges from enterprise property insurance to cargo transportation insurance and liability and guarantee insurance products, according to Yin.

"The company will not simply sell insurance online but will provide customized services for Internet enterprises, platforms and individuals," he said.

Initiated in April 2012, the company was assigned by the China Insurance Regulatory Commission (CIRC) as a pilot for online insurance in February 2013. It was then officially approved by the CIRC in October to get the first license in this sector.

"The authorities have always encouraged transformation in the insurance industry," Yin said. "The setting up of Zhong'an will bring about more chemical reactions between the Internet and financial sectors."