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Bereaved families receive compensation following mudslide deaths

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Bereaved families in mudslide-battered Zhouqu County in northwest China's Gansu Province began receiving compensation from insurers on August 17, 2010.

Lei Pengfei received 50,000 yuan (7,357 U.S. dollars) in personal accident insurance from China Life Insurance Company Tuesday morning, the first insurance compensation after the deadly mudslide on Aug. 8, said Wang Fuxiang, general manager of the company's Gansu branch.

Lei's parents were buried in debris as they slept, though their bodies were later recovered, said Lei.

The massive mudslide has claimed 1,270 lives with 474 still missing as of 5 p.m. Tuesday, local disaster relief headquarters said.

More than 4,000 local people had purchased personal accident insurance policies with China Life and the company has prepared over 2 million yuan in compensation, said Wang.

The buildings of China Life's Gansu branch suffered damage in the mudslide, including broken computers, though copies of insurance policies existed elsewhere, said Wang.

"The money is really important to us since we can use it to rebuild our home," said Lei.

China Life set up a tent at Chunjiang Square on Tuesday to handle insurance claims and people have been flocking there for advice or to have their claims processed.

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