(Yicai Global) May 8 -- Ant Financial Services has launched a mutual aid service for China's elderly between the ages of 60 years old and 70 years old related to cancer on the Alibaba affiliate's Alipay platform.

Unlike traditional commercial insurance that requires that clients pay premiums on a regular basis, the Xianghubao service is a mutual-aid internet insurance program, voluntarily organized by people with common needs and who face the same risks. It is a form of insurance that shares risk compensation.

People meeting the health requirements can apply for a mutual aid fund of up to CNY50,000 (USD7,384) for mild malignant tumors or up to CNY100,000 for severe malignant tumors after they join the program. They do not need to pay fees when joining and share the mutual aid fund evenly with the shared payments of no more than CNY1 per case per user, the Hangzhou-based firm said in a statement. 

"Xianghubao has over 50 million users and has helped 36 critically ill patients via mutual assistance," said Yin Ming, vice president at Ant Financial. 

Editor: William Clegg