In a bid to address the evolving healthcare needs of an aging population and a workforce with diverse employment forms, the State Council of China has issued a comprehensive set of guidelines aimed at improving the basic medical insurance (BMI) subscription long-term mechanism. The new framework seeks to enhance the sustainability and accessibility of medical insurance coverage.
The government’s revised approach will permit citizens to enroll in the BMI scheme at both their permanent residence and place of employment, irrespective of their registered permanent residence status. This move is expected to bolster the portability of insurance benefits, thereby promoting greater flexibility and inclusivity in the healthcare system.
The guidelines also emphasize the importance of aligning residents’ medical insurance contributions with the pace of economic and social development, as well as with the per capita disposable income of residents. This linkage aims to maintain a balanced proportion between financial subsidies and individual contributions, ensuring the system’s viability and affordability.
Effective from 2025, the guidelines propose a reduction in the maximum payment limit for major illness insurance for insured individuals who have been reinstated. Additionally, for those who have continuously participated in resident medical insurance for a minimum of four years, the maximum payment limit for major illness insurance will be eligible for an appropriate increase with each subsequent year of participation.
Furthermore, residents’ medical insurance participants who receive no reimbursement from the fund in the current year will see an increased maximum payment limit for major illness insurance in the following year. The guidelines introduce continuous participation incentives and zero reimbursement incentives, with each increase capped at a minimum of RMB 1,000 and the cumulative increase not exceeding 20% of the original maximum limit set for major illness insurance in the coordination area.- Flcube.com
