China: Shanghai's supplementary health insurance ratio hits 15%
Source: Asia Insurance Review | Nov 2021
Shanghai’s low-cost inclusive supplementary health insurance scheme, called huhuibao, has seen claims pile up to CNY128m ($20m) in the first two months of its implementation, leading to questions about its sustainability.
Some industry observers believe that this ratio would rise to 90% when the one-year term of the scheme expires. According to data from commercial group health insurance business, the compensation ratio in the second half of the year tends to be bigger than in the first half.
Sales of subscriptions to huhuibao, which took place from 27 April to 30 June, attracted premiums exceeding CNY850m. The policy is priced at CNY115 a year regardless of age.
The total number of people insured under it is 7.39m, representing one out of every three persons in Shanghai who are covered by the government-run basic medical insurance scheme. To qualify to purchase huhuibao, customers first have to be members of the state-run basic medical insurance scheme. A