Acronis True Image 2018: Backup to Acronis Cloud fails with "Failed to connect to 127.0.0.1"

Symptoms

1. Backup to Acronis Cloud fails.

2. When you click on X to check the error details, the following message is displayed:

The last backup has failed

Failed to connect to 127.0.0.1

OR

Failed to connect to 0.0.0.0