China has introduced a National Long-Term Care Insurance (LTCI) Service Item Catalogue (Trial), setting clear rules for service scope, reimbursement, and provider qualifications. All pilot regions must align with this standard within three years, ensuring consistent nationwide practices and avoiding arbitrary changes.
Scope of services defined
The catalogue defines 36 services in two categories:
Daily care (20 items): dietary support, hygiene, mobility assistance, functional maintenance, safety monitoring, and vital sign checks.
Medical care (16 items): health examinations, basic nursing, specialized care, and rehabilitation.
All listed services will be covered by the LTCI fund. Daily care costs will not affect medical insurance funds, while referrals to hospitals will still be billed under standard medical insurance.
Background and scale
Since 2016, pilot programs have expanded to 49 cities, covering nearly 190 million people with total spending of about CNY 85 billion (USD 12 billion). The national catalogue replaces fragmented local standards, promoting fairness and quality across regions.
Benefits and regulatory expectations
Authorities highlight several expected outcomes:
– Standardised pricing and service coverage.
– Better protection of beneficiaries’ rights.
– Stronger oversight and quality control.
– More stable fund operations by limiting ambiguous claims.
Existing local catalogues must be reformed to meet the national model, with no scope for independent modifications.
Challenges and outlook
Experts caution that challenges remain:
– Financing still depends heavily on medical insurance funds or local subsidies.
– Qualified care institutions and staff are unevenly distributed, particularly in rural areas.
– Disability assessment criteria vary between regions, creating disparities.
– Greater integration is needed between health services, elderly care, and social security.
Recommendations include diversifying funding sources, expanding community-based care, and introducing more consistent eligibility assessments.
Why it matters
China’s rapidly ageing population is pushing demand for long-term care. The catalogue strengthens the LTCI system while protecting medical insurance budgets. It also complements reforms in the life insurance sector, where insurers like China Life Insurance are adjusting to new guaranteed rate policies and stricter cost controls. Since 2024, insurers have collectively cut costs by over CNY 350 billion, aiming to stabilise margins while supporting social welfare goals.
The integration of LTCI with broader insurance policies signals the government’s intent to balance demographic pressures with financial sustainability — making life insurance and health security increasingly interconnected.
YOU MAY ALSO LIKE
Elderly Gum Disease Soars 48%—Is Dental Insurance Keeping Up?
Health Insurance Costs Set to Soar Amid Policy Changes in 2025
