Chinese 3rd plenary session – Healthcare related keyword interpretation

Chinese government treatment is gradually exiting the history stage

In accordance with the different Chinese healthcare identity grades, the benefits have been divided into different levels. Scholars have vividly described these levels as “fragmented” in the Chinese healthcare system. The following 4 independent segmentations have been identified:

  • Government treatment (1,7%)
  • Basic medical insurance of employees (16,5%)
  • Basic medical insurance of residents (13,6%)
  • NCMS – New cooperative medical system (62,4%)

These 4 different insurance systems will be integrated into 2, as follows:

Government treatment & Basic medical insurance of employees —> Basic medical insurance of employees

Basic medical insurance of residents & NCMS – New cooperative medical system —> Basic medical insurance of Urban & Rural residents

The lower level hospitals (Tier 2, Tier 1, none level hospitals) will grow fast, and will play a very important role in the entire Chinese health care system

The comprehensive rural health care system, will play a role in helping the rural health care services and operate in a network. Some of the benefits will include:

  • Established contractual service relationships between community physicians and residents.
  • The availability of new information technologies.
  • The facilitation of high-quality medical resources for lower level hospitals.

The establishment of a more healthy compensation mechanism for medical staff

Allows physicians to work in multiple places. This will abolish the current situation which uses medication income to subsidize other costs. It will also improve the performance evaluation system for medical staff.

Encourage more private capitalists to invest in medical services

Private capital (incl. foreign capital) can invest in different medical needs: private medical services, public hospital restructuring and reorganizing, etc. Private medical services can be covered by the national medical insurance.

Ultimately the health care system will be formatted into four pillars:

  • The basic health care system covers 100% population.
  • Employees and other practitioners will have access to better coverage.
  • A supplementary medical insurance system for major diseases will help deal with multi-level medical demands.
  • Medical assistance & donor systems for patients with major diseases.

About Zhen Nie

Zhen is in charge of Asian Operations at TforG, with more than 6 years of experience in project management and business consulting for local and international companies. She works in a continuous basis with an extensive network of Key Opinion Leaders and Health Policy makers in Asian markets.
She graduated at the University of Antwerp and has a Master Degree in Finance.
Tel: +32 3 201 64 24
Mobile: +32 485 89 98 84
Email: z.nie@tforg.com