(ECNS) -- ZhongAn Insurance, China's first online insurance company, has teamed up with Aliyun, Alibaba's cloud computing service provider, to launch the first cloud computing insurance in the country, Yangcheng Evening News reported on Sunday.
Cloud computing has experienced massive growth during the data technology era, but more consolidated cloud storage have put information security at higher risk due to potential hacker attacks, the report said.
Under the policy, Aliyun users will be paid and get compensation if they encounter problems related to information security and cloud service.
Insurance covers data privacy as well as data destruction due to hacker attack. Compensation is as high as one million yuan ($152,000).
According to IDC, a premier global market intelligence firm, the scale of cloud computing infrastructure in China would surpass one billion dollars by 2016. Besides, PWC's latest report states that network security insurance is the fastest-growing type, and that related sales might reach 7.5 billion dollars by 2020.