Until the late 1970s, China’s healthcare system depended entirely on the state and on state-owned enterprises. All citizens received free care, but health services were rudimentary. During the transition to a market economy, this system collapsed because of the competitiveness pressures on state-owned enterprises, and a large part of the population found itself having to pay for its own care.

Today, a two-track system has been put in place: one for urban areas, the other for rural ones. Since 1998, urban employees have been required to enrol in basic medical insurance, and all registered urban employers must provide it for their staff.

Contributions are paid by both employers and employees. Care is no longer free: patients must now pay a co-payment, and some costs are reimbursed less and less well.

Rural populations have received particular attention recently, and the government announced that 99% of rural residents — some 800 million people — are now covered by health insurance.

Like every sector in the country, healthcare is undergoing profound change and cover is improving, but expats are still advised to turn to private medical centres, which provide better-quality but expensive care. For first-euro reimbursement, get in touch with us.