The State Administration of Financial Supervision and Administration of China issued a notice on promoting the high-quality development of urban commercial medical insurance to various financial regulatory bureaus, insurance associations, and insurance companies on the 31st, requiring urban commercial medical insurance to highlight its inclusive positioning, adhere to its commercial attributes, follow insurance laws, and standardize and accurately price. It is understood that urban commercial medical insurance, also known as "Huimin Insurance", is a commercial insurance guided by local governments and relevant departments, operated by insurance companies, and connected with basic medical insurance. It has the characteristics of low insurance threshold, low premium, and high coverage. In recent years, urban commercial medical insurance has been implemented and rapidly developed in many places, meeting the diverse and multi-level health protection needs of the people. The notice specifies that urban commercial medical insurance should highlight its inclusive positioning. The insurance industry should adhere to the development concept of putting the people at the center, optimize the supply of urban commercial medical insurance products, timely include the application of new medical technologies, drugs, and devices in the scope of responsibility, and provide insurance services with wide coverage, fair availability, reasonable premiums, and effective protection. The notice proposes that urban commercial medical insurance should follow the principles of marketization and rule of law, adhere to the independent operation of insurance companies, and encourage people to voluntarily purchase insurance. Each company should conduct business in accordance with the basic principles and objective laws of commercial insurance, adhere to the principle of matching premium collection with the degree of protection, and combine expansion and quality improvement with sustainable commercial development. The notice also requires standardized and precise pricing of urban commercial medical insurance. To follow the principle of risk consideration and achieve differentiated pricing, corresponding responsibility grading or rate grouping should be based on factors such as age, gender, and health status of different groups, continuously improving the fairness and adaptability of products and services. For the responsibility included in the insurance contract for the first time, it should be scientifically and accurately priced based on historical experience data and basic data provided by relevant parties such as medical, medical insurance, and pharmaceuticals. Data shows that in 2024, the total premium income of commercial health insurance in China will be nearly one trillion yuan, and in the first half of 2025, the premium income will be 622.3 billion yuan, with an average annual growth rate of about 20% in the past 10 years. The cumulative payment of compensation will be 2.6 trillion yuan, and more than 2.5 trillion yuan of long-term liability reserves have been accumulated, which will become a reserve for the future health protection of the people. (New Society)