Migang.com rolls out increased P2P lending security for customers

Migang.com, a Chinese peer-to-peer lending company, and insurance firm Tianan Property Insurance have formed a strategic partnership to provide online security for customers.

Cao Xiaofeng, chairman of Migang.com, said investors purchasing wealth management products on the company's site will have their policies underwritten by Tianan Property Insurance.

"Risk control has been a challenge for P2P sector, and we aim to build a safe platform for investors by our professional capabilities and business pattern innovation," Cao said.

Guo Dagang, secretary-general of Beijing P2P Industry Association, said that the transaction volume of Chinese P2P sector will be between 800 billion yuan ($124.9 billion) and 1 trillion yuan this year.

P2P is the practice of lending money to unrelated individuals, without going through traditional financial institutions such as banks.