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March 10, 2011

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Health insurance for millions

EIGHT million more Chinese will be covered by urban basic health insurance in 2011, the Ministry of Human Resources and Social Security said yesterday.

That will bring the total number of urban residents covered by the insurance to 440 million, or 90 percent of the total, from 432 million at the end of 2010, according to a ministry report released at a press conference in Beijing.

China's health insurance scheme includes urban basic health insurance for urban dwellers and rural cooperative health insurance for rural residents.

The press conference on the latest developments in China's health care reform was held on the sidelines of the annual parliamentary session.

Regarding rural cooperative health insurance, Chen Zhu, China's health minister, told reporters that this year the reimbursement cap for farmers would be raised from 30,000 yuan to 50,000 yuan (US$7,600), almost 10 times that of farmers' average per capita net annual income.

That means 70 percent of farmers' inpatient expenditure can be reimbursed, 10 percentage points higher than in 2010, he said.

Chen also said that China would expand a pilot project providing extra financial assistance to people suffering severe diseases nationwide.

The current pilot project covers children with congenital heart disease and leukemia.

Chen said the health ministry was considering expanding the package to cover diseases such as breast cancer, cervical cancer and uremia.

China launched its rural cooperative medical care program in 2003. A member pays 10 yuan a year and gets partial reimbursement at varied rates for hospital expenses.

Accordingly, central and local governments provided dozens of yuan of support funds for each person every year up to 2009.

In 2010, the government offered 120 yuan for each member.

This year, government subsidies for the new rural cooperative medical care system and medical insurance for non-working urban residents will be increased to 200 yuan per person.

Wang Jun, vice finance minister, said at the conference that when the three-year reform program for health care was initiated in 2009, an additional 850 billion yuan was to be added to central and local government health care budgets.

Latest figures showed that central and local governments would actually spend 1,134 billion yuan between 2009 and 2011 on the program,

He told reporters that the proportion of health care spending in total government expenditure would rise from 4.57 percent in 2008 to 5.35 percent in 2011.





 

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