This book examines the financing of China’s health system, argues that present arrangements are not adequate and proposes an increased role for commercial health insurance as a way of overcoming the difficulties. Highlighting that China’s present social medical insurance system can only cover basic medical services, with the results that many Chinese people with higher income are going abroad for high-quality medical services and that doctors are not bringing in the salaries and obtaining the social status they expect, the book suggests that commercial health insurance offers a possible solution, in that it can help meet the demand of higher-income groups for better healthcare services while at the same time increasing the income of more competent medical professionals. The book goes on to consider the current state of China’s commercial insurance industry, outlining the various challenges that the industry needs to overcome if it is to fulfil an increased role, challenges such as greater specialization, increased capacity, structural reform, improved regulation and closer integration with China’s medical reform programme.

This book presents the findings of systematic research into the healthcare medicine management policies of China. In-depth comprehensive research has been carried out, targeting multiple issues of particular importance in healthcare medicine management, such as the purchasing, pricing, payment, usage, and the function of commercial healthcare insurance in medical payment. The book goes on to put forward policy advice regarding the aforementioned issues.

This volume is based on Green Book of Population and Labor No. 16 originally published in Chinese. Chapter one reviews developments in population and family planning during the 12th five-year plan period (2011–2015), presents forecast, and examines the relationship between demographic changes and economic development. Chapter two focuses on population movement trends and employment situation of rural migrant workers. The country’s overall employment situation in this period is presented in chapter three. Chapter four examines trends in China’s labor supply and demand. Chapters five and six look at recent progress in and development of China’s old-age insurance and medical insurance systems. As in previous volumes, this one contains policy suggestions for labor market development and population management.

Good health is widely believed to be intimately associated with economic growth and development. A number of governments of developing countries have been combating poverty and boosting development through providing adequate access to health care. However, developing countries have been constrained by the limited governmental revenue. Thus, additional resources should be mobilized through appropriate instruments. Health insurance is a highly practical instrument. However, health insurance in rural areas is problematic and the demand for private health insurance and community-based health insurance scheme is inadequate. Taking China as an example, this study estimates the demand for health insurance and analyzes the health risk management of rural households.

Health development in countries of Asia and the Pacific is constantly facing new challenges but financial constraints prevent people from seeking timely health care and completing the treatment regimen. Many countries in Asia and the Pacific have introduced cost recovery by charging for publicly provided health services and the share of private financing in total health care spending has significantly increased in the past two decades. However such reforms were carried out without adequate measures to protect the poor and private out-of-pocket financing is an inequitable and inefficient way of funding health services. There has thus been growing interest in health insurance not only as a financing mechanism, but also as an effective social safety net. This publication is the outcome of joint efforts by the WHO Regional Offices for the Western Pacific and South-East Asia, the Asian Development Bank, and health care financing experts in the two regions. By the use of case studies it documents regional experiences in health care financing arrangements through prepayment, with critical analysis on factors linked to success, failures and lessons learnt in various socioeconomic settings. While experiences from 12 selected countries have been highlighted, the lessons are relevant for all countries in Asia and the Pacific. The publication will therefore be useful for policy makers and for international development partners undertaking technical assistance in the field of social security and social health insurance.

The authors find that economic growth does not automatically improve health care, and that prioritizing health care as China has done does not necessarily lead to cost efficiency and equity in health care for the whole nation.