China encourages continuous medical insurance participation

Policyholders of 4-straight years are eligible for an annual increase of ~$140.

The General Office of China's State Council aims to encourage people already covered by the basic medical insurance program, which has covered 1.334 billion, or over 95%, of its population at the end of 2023, to continue participating without vacating.

The office’s released guidelines state that beginning in 2025, individuals who have maintained continuous coverage under the basic medical insurance program for four years will be eligible for an annual increase of no less than ~$140 in their maximum insurance payout limit for major illnesses. 

This increase will apply for each additional year of continuous participation, providing a financial incentive for people to remain insured.

Beginning next year, those who are enrolled in the program but do not utilize any medical insurance fund reimbursements throughout the year will see their maximum payout limit for major illnesses raised by at least $140 in the following year. 

This policy encourages participants to use their insurance judiciously and rewards those who do not make claims.

For individuals who have previously exited the basic medical insurance program and wish to re-enrol, the guidelines establish a waiting period. 

Starting in 2025, these individuals will need to wait at least three months after rejoining before they can use reimbursement benefits again. This measure is designed to discourage intermittent participation and ensure the stability of the insurance pool.

Fan Weidong, an official with the National Healthcare Security Administration, stated at a press conference that these policies are intended to protect the interests of all participants in the basic medical insurance program while ensuring the stable operation of the medical insurance funds.