New China Life Insurance has introduced its innovative “Medicine Assurance” medical insurance product on June 6, 2025, responding to China’s healthcare payment reforms and growing demand for high-quality medical services. The product combines insurance coverage with value-added services, targeting critical gaps in the current healthcare system.
Aligning With National Healthcare Reforms
The launch comes as China implements Diagnosis-Related Groups (DRG) and Diagnosis-Intervention Packet (DIP) payment reforms under the National Healthcare Security Administration’s three-year action plan. These measures aim to establish a multi-layered health security system with basic medical insurance as the foundation and commercial insurance providing supplemental coverage.
“In this evolving landscape, we’re seeing clear demand for services beyond basic coverage – specialized treatments, innovative drugs, and out-of-hospital medications,” said a New China Life spokesperson. “Medicine Assurance is designed to complement national health insurance by addressing these specific needs.”
Five-Layer Protection System
The product features a comprehensive protection model:
Medication Coverage: Extends to out-of-hospital drugs and medical devices during hospitalization and specific outpatient treatments
Premium Care: Covers specialized treatment departments for 130 critical illnesses with better facilities and expert teams
Low-Cost Hospitalization: Eliminates deductibles for small medical claims with 50% reimbursement rate
Travel Support: Provides transportation and accommodation coverage for patients seeking treatment in other cities
Cancer Care: Covers 380+ cancer treatments including 190 original research drugs and CAR-T therapies
Enhanced Health Services
Partnering with MedTrust, New China Life offers access to:
- Priority scheduling at 1,700 top-tier hospitals
- Multidisciplinary cancer consultations
- Global medication sourcing and direct payment services
- Financial planning assistance for treatment costs
Industry Collaboration
Developed with China Re Life and MedTrust, the product represents a convergence of reinsurance expertise, product development, and health management capabilities. “This is part of our commitment to building a complete health ecosystem,” the spokesperson added, noting plans to expand partnerships across the medical and pharmaceutical sectors.
The launch reflects insurers’ growing role in China’s healthcare transformation, offering solutions that bridge gaps between public coverage and evolving patient needs while supporting national health objectives.
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