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China's launches earthquake insurance policy

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China has launched the sale of the country's first earthquake insurance policy as part of its effort to establish a catastrophe insurance system to compensate for disaster losses, reported China Daily.

The earthquake insurance cover will be sold by Chinese insurers across the nation.

The China Insurance Regulatory Commission said that homeowners can purchase policies with a maximum payout of 1 million Chinese yuan ($150,200) to cover damage caused by earthquakes with a magnitude of 4.7 and above.

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