Six characteristics of China's commercial health insurance.

Author . . . Latitude Health has its own characteristics in different markets in countries and regions dominated by health insurance, although it has commonalities in terms of basic principles.
view of the Chinese market, commercial health insurance basically has the following six characteristics: 1. Commercial insurance in a government basic insurance coverage of the market 2. Service providers mainly public institutions, lack of competitive medical services market 3. Commercial insurance by their own channels, no government as an official to promote supplementary insurance 4. Potentially developable customer groups are seriously divided 5. Group insurance risk is relatively controllable, but the growth of limited 6. The number of insurance base is large, the price war is fierce, relying on high deductibles to do wind control first, in the market covered by health insurance, commercial insurance can only do supplementary, it also has the basic characteristics of supplementary health insurance.
, however, because China's health insurance is not only wide coverage, but also low level, the depth of assurance is relatively lacking.
therefore, the most urgent need for users is to protect against major illnesses, not to cover them in breadth.
inpatient insurance and serious illness insurance is the user's first choice, outpatient and oral coverage insurance is not the primary concern of users.
second, service providers are public-oriented and lack competitiveness.
because of the institutional problems of public medical institutions, the competition between the markets is weak, especially in areas where medical resources are not abundant, which can easily lead to regional monopolies.
in areas rich in medical resources, although there is competition between public hospitals, but the payer still occupies a greater advantage.
, however, for commercial insurance, because mainly follow the strategy of health insurance, along with the gradual strength of health insurance, the future development will be a certain degree of good.
, however, because of the relatively small size of the commercial insurance itself, it is difficult to negotiate with the hospital to control fees, can only be restricted on the use of users, which is also a long-term feature of China's commercial insurance market.
, because of the wide coverage of health insurance, to deepen the protection of more voluntary options for individuals, the Government will not promote this.
recent years, although the depth of health insurance has been expanded, but the gap is still large, commercial insurance is only part of the higher risk awareness of user choice.
, of course, health insurance also allows the use of a separate account buyer insurance, but the restrictions on specific commercial insurance varieties, through the sale of products generally smaller.
fourth, the crowd is seriously divided.
china's unbalanced economic development, the actual purchasing power difference is large, resulting in a more obvious user differentiation.
income groups are mainly concentrated in the field of life insurance serious illness insurance, although the amount of insurance is only 30-50 million, but a one-time payment, financial compensation is more advantageous.
The vast number of medium-sized user groups are biased in favor of millions of medical insurance such as hospital insurance, although the amount of insurance is higher, but it is a paid-in type, and there are up to 10,000 yuan deductible, the actual amount of compensation is relatively limited, but win is a low-cost products.
of course, customer division is not only a gap in purchasing power, but also a distinction between the willingness to buy, many users of the risk of the perception is more limited, low prices are more likely to attract them to make a one-time purchase.
, China Commercial Insurance's group insurance market growth rate is relatively slow, but compared with mature markets is still a high growth rate.
the risk allocation of group insurance is better, the pressure of claims should be small.
however, due to the weak scalability of the group insurance market, the new single growth is not high, the company competition to take more price war, resulting in the deterioration of the payout rate, profitability is not strong.
, the group insurance to enterprise-based, to provide enterprise employees more based on medical insurance on the basis of re-reimbursement, the protection of major diseases is relatively limited, the nature of benefits is stronger, and some individuals on the need for protection of major diseases there is a gap.
the sixth, the insurance market is mainly, the price war is fierce.
similar to Taiwan, insurance is the main commercial insurance in mainland China, whether it is serious illness insurance or hospital insurance, have achieved rapid growth in the mainland.
However, due to the two aspects of purchasing power and willingness to buy, China's health insurance to serious illness insurance as the core, pay-as-you-go health insurance has always been difficult to obtain a large-scale market, even if the introduction of products such as health insurance tax benefits, the enthusiasm of users are very low.
but with the increase in deductibles to more than 10,000 yuan and the price of premiums down to less than 500 yuan, compensation insurance has achieved rapid growth, which is very different from other markets.
in countries where health insurance is the main body, most commercial insurance is not deductible, although users are more likely to see major disease protection, but the coverage of conventional diseases is also its risk-resistant needs.
premiums are more expensive without deductibles, this does not affect the sale of insurance products.
Therefore, in the health insurance and hospitals are public market environment, especially in the user's willingness to buy and ability to have obvious constraints, the development of China's commercial insurance to the protection of major diseases as the core, mainly rely on a insurance channel.
the increasingly fierce competition in the market, price war has become the main means of competition.
that this makes it difficult for commercial insurance to provide higher-value insurance products, market homogenization competition is not conducive to the healthy development of the market.
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