In accordance with a report by TechSci Research titled "China Health Insurance Market– By Region Competition, Forecast and Opportunities, 2018-2028F," the projected growth of the China health insurance market is attributed to various factors. These include the increasing prevalence of health insurance plans and a rise in the costs associated with daycare procedures, contributing to heightened market demand. This surge in demand reflects a growing consumer interest in health insurance.
Healthcare insurance functions as coverage for expenses incurred during the treatment of diseases, injuries, or other physical and mental impairments. It operates on a compensation model, wherein regular and single premiums or payroll taxes are paid in exchange for healthcare benefits. The insurer is obligated to cover the policyholder's medical expenses based on the policy's duration and coverage, with variations possible based on factors like disease types, age groups, and governmental policies.
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The market is categorized into two types of insurance providers: public health insurance and private health insurance. Public health insurance, primarily administered by state or federal governments, is exemplified by the Urban Employee Basic Medical Insurance (UEBMI) program introduced in 1998. This government-run initiative has played a significant role in the healthcare sector and is known for its cost-effectiveness due to lower administrative expenses.
Despite the dominance of public health insurance, the private segment is expected to witness growth throughout the forecast period. This expansion is fueled by an increasing number of private insurers offering customized policies. Encouraging individuals not covered by employer or government insurance programs to opt for private healthcare insurance further stimulates the growth of private insurance companies.
Contemporary consumers seek health insurance plans with additional benefits, leading to a rise in the number of available plans. This trend is driven by an enhanced awareness of health risks, contributing to the overall market growth.
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The market has experienced positive expansion nationwide, serving as a crucial cost-sharing instrument for medical expenses affecting individuals and family-sized groups due to illnesses or accidents. Health insurance policies can be obtained through annual or monthly premium payments, offering coverage for a defined period or the entirety of one's life based on individual preferences.
The COVID-19 pandemic has had a favorable impact on the healthcare insurance market, with more individuals recognizing the importance of health coverage for financial protection during emergencies. This realization has led to a significant increase in the penetration rate of health coverage.
Key market players in the health insurance market include:
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Ping An Insurance (Group) Company of China Ltd.
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China Life Insurance (Overseas) Company Limited
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China Pacific Insurance (Group) Co. Ltd.
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People's Insurance Company of China
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New China Life Insurance Co., Ltd.
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China Reinsurance (Group) Corporation.
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AIA Group Limited
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Azuria Life France
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Sino-German Allianz Life Insurance Co., Ltd.
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HSBC Bank (China) Company Limited
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The China Health Insurance market is segmented based on various factors, including the type of insurance provider, type of coverage, mode of purchase, premium types, end users, region, and competitive landscape.
The report highlights the benefits of health insurance policies as a significant trend driving market growth. Online service providers are also expected to play a crucial role in boosting demand for health insurance in the coming years. Additionally, the rising cost of medical services, coupled with government initiatives, is anticipated to contribute to the industry's growth during the forecast period, according to Mr. Karan Chechi, Research Director at TechSci Research. The comprehensive report on the China Health Insurance Market aims to provide valuable market intelligence for decision-makers, offering insights into market structure, size, share, and future growth. It also identifies and analyzes emerging trends, drivers, challenges, and opportunities within the health insurance market in China.
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