Shanghai Jiahui International Hospital became the first comprehensive international hospital to be covered by the city’s medical insurance, the Shanghai Health and Family Planning Commission announced on Oct 10th.

The measure was launched in accordance with a new health policy issued in July to speed up local health reform and the development of high-end health services, the commission said.

“Shanghai is building a city meeting different levels of health requirements — this new policy can push forward a diversified and more international health system,” said Wu Jinglei, director of Shanghai Health and Family Planning Commission.

The policy encourages high-end private health facilities to adopt a similar price standard as public hospitals and be covered by medical insurance. Patients pay the price difference for the cost, which isn’t covered by the basic insurance.

Shanghai Jiahui International Hospital, which has 500 beds and is run in collaboration with American-based Massachusetts General Hospital, is the first international hospital benefiting from the new policy.

From now on, patients can have their medical bill settled in Jiahui for the part covered by insurance and pay the rest through cash or commercial insurance. Statistics found about 10 to 20 percent of the bill can be covered by the medical insurance for normal medical services, and those with serious diseases like cancer can have 40 percent of their bill covered by medical insurance.

About 5 percent of patients at Jiahui are local residents using medical insurance, the hospital said.

Private hospitals can set pricing themselves. According to the hospital, its charging is almost the same as VIP services in city-level public hospitals, which is about three times the basic health service cost.

Source: First international hospital covered by city's insurance