Press conference on corporate social insurance premium reduction to support epidemic prevention and control

A press conference was held Thursday afternoon to brief the media about issues on provisional reduction or exemption of employers' social insurance and medical insurance contributions and deferral of corporate payments to the housing provident fund.

China SCIO February 22, 2020

Hu Kaihong:

Thank you, Mr. Ni. Now I will give the floor to Mr. Chen from the National Healthcare Security Administration.

Chen Jinfu:

Good afternoon, friends from the media. Since the outbreak of the novel coronavirus pneumonia, the National Healthcare Security Administration has firmly implemented the important instructions given by General Secretary Xi Jinping and the decisions and arrangements by the CPC Central Committee. Under the unified leadership of the Leading Group of the CPC Central Committee for Novel Coronavirus Prevention and Control and the State Council's Joint Prevention and Control Mechanism, we have issued a series ofhealthcare securitypolicies cooperating with the related departments including the Ministry of Finance to ensure patients don't have to worry about their medical expenses and treatment at medical institutions is not compromised due to payment issues.

At the same time, we have also taken three targeted exemption measures. We have removed the restrictions in the catalogue of illnesses and situations covered by the national basic medical insurance scheme, payment limit and drug use restriction. At the same time, we have optimized the management services of the operating institutions, allowed priority advance of medical insurance special funds and postponed medical insurance premium payments. All these policies and measures have been taken to effectively support the battle against the virus.

With the positive changes in the situation, in accordance with General Secretary Xi's instructions to focus on epidemic prevention and control on one hand and on the other hand on social and economic development, and in accordance with the decisions of the State Council's 82nd executive meeting, the guideline on the phased reduction of basic medical insurance premiums for workers is proposed in conjunction with the Ministry of Finance and the State Taxation Administration to study and put forward guiding opinions on reducing the basic medical insurance premiums of employees in stages. It will be in accordance with the actual situation in different places and decided by the provincial governments. On the premise of ensuring long-term balance of the fund's income and expenditure, and on the condition of ensuring employees' benefits, the medical insurance premiums of employees will be reduced by half in stages starting from February for a maximum period of five months.

On the whole, the current medical insurance funds are enough to support the premium reduction by half in stages, the development of enterprises, and to ensure that employees still enjoy the benefits of medical insurance.According to the preliminary calculation, the reduction measures can ease enterprises' burden by up to 150 billion yuan, which will help enterprises in resuming work and relieve their pressures, thus creating a balance between the needs of epidemic prevention and control and economic development.Thank you.

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