China Unveils Ambitious Healthcare Reforms at 20th Central Committee Plenary Session

The third plenary session of the 20th Central Committee of the Communist Party of China convened in Beijing from July 15-18, 2024. This pivotal meeting, held approximately every five years, is instrumental in charting the country’s social and economic policy directions. The 2024 session highlighted two central themes: ‘further deepening reform comprehensively’ and ‘advancing Chinese modernization,’ with a target to complete all reform tasks by 2029.

In the healthcare sector, several key initiatives were announced:

The central government is committed to establishing a robust social security system, which includes enhancing the national pooling system for basic pension insurance and creating a unified national social security public service platform. A priority will be placed on social security funding security, including the establishment of a supervisory mechanism.

New mechanisms for funding and adjusting benefits for basic pension and medical insurance will be introduced, with a gradual increase in the basic pension insurance for urban and rural residents. The government will also work to improve the social security system for flexible employment, migrant workers, and new employment forms, expand coverage for unemployment, work-related injury, and maternity insurance, and eliminate restrictions on insurance access for those employed outside their home provinces.

The development of a multi-level and multi-pillar pension insurance system will be accelerated, expanding pension system coverage and fully implementing a personal pension system. This will bolster the supplementary protection role of commercial insurance offerings and promote provincial pooling of Basic Medical Insurance (BMI) schemes. Reforms will also deepen medical insurance payment methods, including improvements to major illness insurance and medical assistance systems. The government will ensure a robust social assistance system to safeguard the rights and interests of women, children, and individuals with disabilities.

The document also outlines plans to deepen medical and health system reforms to enhance the public health system. This includes focusing on promoting social co-governance, emphasizing medical prevention, early warning systems in epidemiology, inspection and testing, emergency responses, and other related areas. The aim is to better coordinate the development of healthcare, medical insurance, and pharmaceuticals, ensure the sharing of high-quality medical resources, balance regional layouts, accelerate the construction of a tiered diagnosis and treatment system, promote the construction of compact medical consortia, and strengthen grassroots medical and health services. The reform of public hospitals will be guided by public welfare principles, including plans for a fee mechanism led by medical services, an improved salary system, and a dynamic staffing adjustment mechanism. The government will also guide and standardize the development of private hospitals alongside innovative medical and health regulatory measures. There will be robust support mechanisms for the development of innovative drugs, medical devices, and traditional Chinese medicines.- Flcube.com

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