Study Of China's Basic Medical Insurance System

China's moving from a planned economy system to a market economy system since itsreform and opening up has caused dramatical social changes and transformation.Unavoidably, the system and institutions of the health undertaking of China are alsoexperiencing a reform and a series of new policies are under way. In order to fit the gradualreform of China's economy system, the reform in the health undertaking also goes ongradually.However, at the very beginning the reform in the health undertaking has to change froman open outside-stimulated pattern to a closed self-changing pattern, because it is verydifficult to see where the reform of China's economy system finally goes and there also lacksclear relation and interaction between the gradual reform in the economy system and that inthe health undertaking. But with the deepening of the reform the health undertaking nowconfront a lot of clashes, that between people's endless need and the shortage of the healthresources, between the rapid rise of medical expenses and the margin returns decrease ofhealth, between the overuse of the medical service by the rich and the little use by the poor,between the high price of the medical service and the wide coverage of the medicalinsurance system. Moreover, the health undertaking is ill itself in that the price of themedical service has negatively affected the behavior of the medical profession. It is verydifficult and expensive for people to see a doctor. Besides, the clash between the efficiencyof the market economy and the welfare nature and fairness of the health undertaking causesconfusion in seeing the final goal of the reform, which attaches great importance toefficiency.China's society and economy are marching into a crucial period of development with itsGDP per capita having exceeded $1000. It has become a major duty of the government toguarantee that all social members enjoy a basic and fair medical and public health service.The reform of China's health undertaking focuses on the optimal allocation of the healthresources, the control of the medical expenses on an affordable level, and the guarantee offaire and wide basic medical services.In this study, the researcher gathers a lot of information and data concerning medicalsystem reform on economy, education, medical and health, population, medical insurancesystem, employment and community construction, and, with the help of mini expertsmeetings and much data investigation, tries to discover the major problems in healthundertaking and their causes within a complicated, interactive and developing social context. Based on this, the researcher then gives a definition of the basic medical service underChina's public finance policies and does a deep analysis of the constitution of the basicmedical service system. The researcher also gives a detailed introduction of the three basicmedical security systems, namely, the basic medical security system focusing on communityhealth service in towns and cities, the medical security system featuring cooperative medicalin the countryside, and the medical assistance system serving the disprivileged. Theresearcher then proceeds to offer suggestions on policies about the comprehensivedevelopment of the medical security systems in both towns and cities and the countrysidebased on her study.